Dogecoin fell 3% to $0.1226 as year-end selling pressure pushed the token through a key support zone, keeping the meme coin stuck at the lower end of December’s downtrend.
DOGE broke below $0.1248 during the heaviest trading window of the session, with volume running about 157% above average – a sign that the move was not just thin-liquidity drift, but a real break driven by active supply.
The decline extended a broader bearish structure that has defined DOGE’s month, with sellers repeatedly using rebounds to lighten exposure and defend lower-high levels.
News background
- The move comes as year-end positioning continues to weigh on high-beta crypto, with liquidity thinning into the holidays and investors reducing risk.
- DOGE has also faced pressure from large holders: whale wallets have distributed around 150 million tokens over the past five days, keeping spot rallies limited even as the price trades close to its lowest range.
- At the same time, the derivative positioning remains active.
- Open interest rebounded to over $1.5 billion, suggesting futures traders are still willing to hold exposure into 2025 even if the spot market turns defensive.
- This divergence—persistent leverage against spot structure weakening—tends to keep volatility elevated, especially when sentiment is already fragile.
Technical analysis
- DOGE’s break below $0.1248 is the technical pivot. This level had acted as a floor for near-term consolidation, and once it gave way, the market quickly rotated into the $0.122-$0.123 demand pocket.
- The collapse was confirmed by volume, with around 857 million DOGE changing hands during the decisive leg drop. That’s consistent with distribution rather than a slow grind, and it explains why rebounds have struggled to find follow-through: sellers have been present at every push back towards $0.1270.
- From a structural standpoint, the DOGE remains trapped in a descending channel with successive lower highs. Momentum is stretched – the RSI around 37 points to oversold conditions – but oversold readings alone have not been enough to reverse the trend, especially in late December bands where liquidity is thin and selling can be persistent.
Price action overview
- DOGE fell to $0.1226 after breaking below $0.1248 support on above-average volume
- $0.1270 now marks the first resistance level after the breakdown
- Whale wallets have distributed about 150 million DOGE over five days, keeping rallies limited
- Open interest rebounded above $1.5bn, even as the spot structure weakened
What traders should know
The deal is now straightforward: DOGE is at its next decision-making level.
- If $0.1226 holds and price regains $0.1248 quickly, the move is likely to resolve into another range-bound bounce back towards $0.1270. That would fit the recent pattern of map-covering rallies failing under overhead supply.
- If $0.1226 fails, the next downside magnet sits near $0.118 where previous demand pockets and the lower channel boundary converge. In that scenario, any bounce back towards $0.1248 is likely to be treated as resistance unless spot volume shifts decisively from sell-side to buy-side.
So far, the band is sounding like a supply-cost breakdown — and with year-end liquidity still thin, the next clean breakout could come sooner than usual.
