Dogecoin faces a 60% downswing as meme coins trend lower

Bybit
Dogecoin faces a 60% downswing as meme coins trend lower
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Dogecoin’s slide has accelerated sharply over the past week. The coin is slowly finding some momentum, but gains over the past 24 hours have been modest at best. However, DOGE faces a major headwind in the long run. In the coming weeks, the coin could drop by 60%. Here are some things you need to know:

DOGE appears to be accelerating the downside towards support at $0.048.

A fall at this price would trigger a drop to $0.041.

This would represent a loss of over 60% of the current price.

okex

Data source: TradingView

How DOGE avoided this sell-off

There are two ways for DOGE to avoid a sharp drop in the short term. First, the coin needs to find buying momentum and push the price above $0.1. If that happens, we could see a more sustained uptrend, significantly limiting the downside. But based on current market trends, we don’t think the coin will rise above $0.1.

Second, Dogecoin must hold the $0.048 support level. This is relatively feasible as the coin has crossed this threshold by more than 20%. As long as the broader market weakness eases, we are likely to see a stronger consolidation above that.

However, there is still a risk that both scenarios will not play out. After all, the market has turned bearish. Therefore, DOGE is likely to fail to hold the support at $0.048, causing its price to drop by 60%.

When will DOGE resume?

It will take several months for Dogecoin to fully recover. The coin is already well below its ATH, and there seems to be insufficient demand for meme tokens to push it higher.

But a slight recovery to $0.1 is not far off. Currently, the short-term outlook for Dogecoin is bearish.

Coinbase

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