Dogecoin fell sharply on Tuesday, losing 8% to $0.1697, as whales dumped $440 million in tokens and trading volume rose to multiweek highs. The split through $0.18 marked a decisive shift in structure, confirming ongoing institutional distribution across the meme coin complex.
News background
- DOGE fell from $0.1843 to $0.1697 during the 24-hour period, breaking multiple support zones and establishing new monthly lows. Volume rose to 3.37 billion tokens – 426% above daily averages – as cascading stop-losses accelerated the move.
- The breakdown followed a failed defense of the 0.236 Fibonacci retracement at $0.1787, triggering liquidation flows and algorithmic selling.
- Bears extended control through midday, bringing the DOGE to an intraday low of $0.1641 before a limited dip buy occurred.
- Market flows turned decidedly negative as on-chain data recorded $22.27 million in daily outflows, while futures turnover rose 50% to $5.25 billion, even as open interest fell 4% to $1.67 billion — evidence of broad deleveraging rather than new speculative demand.
Summary of price action
- The $0.18 split represented a structural failure of a support zone defended since early October. Sellers absorbed bids across each rebound, confirming a descending channel continuation pattern.
- Intraday data showed the largest selling between 03:00-05:00 UTC, with volume peaks above 1 billion tokens.
- Attempts to regain resistance at $0.1760 were rejected immediately. The session closed near the bottom quartile of the range, underscoring continued institutional control.
Technical Analysis
- The whale’s behavior reinforced the bearish picture. Addresses with 10-100 million DOGE unloaded around 440 million tokens over three sessions, marking one of the steepest mid-tier wallet liquidations this quarter.
- Momentum indicators confirm near-term capitulation risk: RSI fell to 34.7 and is approaching oversold territory that historically precedes relief rallies.
- Still, the descending channel formation remains intact and projects potential extension towards the $0.165-$0.150 demand zone where earlier accumulation took place.
What traders should know
- DOGE’s immediate outlook hinges on stabilization above $0.165. Analysts note the token’s recent pattern of 6-9% single-day pullbacks that often precede brief technical rejections, but sustained rebounds require a daily close above $0.18-$0.185 to neutralize bearish momentum.
- Short-term traders see rally to $0.1760-$0.1800 as distribution opportunities unless broader risk sentiment improves.
- With negative whale currents and deleveraging, near-term volatility remains skewed to the downside until volume contraction confirms capitulation.
