Dogecoin price has been in a consolidation phase recently, with attempts to rebound proving unsuccessful. DOGE was trading at $0.1242, down over 42% from its highest point this year, indicating a deep bear market.

Dogecoin’s performance this week contrasts sharply with other meme cryptocurrencies. For instance, MOTHER Iggy, associated with Iggy Azalea, rose by 18% on Wednesday, rebounding over 75% from its lowest point this week. Hoppy, another relatively new meme coin, has surged by over 3,600% since May, while Doland Tremp has jumped by 90% in the past few days.

Focus Shifts to Newer Meme Coins

The lackluster performance of Dogecoin is likely due to day traders focusing on newer meme coins that have shown strong performance since 2023. Tokens like Bonk, Pepe, and Dogwifhat (WIF) have outperformed mainstream cryptocurrencies such as Bitcoin, Ethereum, and Solana during this period.

Trading data indicates that demand for Dogecoin has not been robust in recent months. Its 24-hour trading volume often stays below $1 billion, a smaller figure compared to other meme coins. For example, data shows that Pepe’s 24-hour volume exceeded $1 billion.

Futures Market Trends

The futures market mirrors this trend, with Dogecoin’s open interest on a downward trajectory. It peaked at over $1.9 billion in March but has now slumped to $578 million. Most of this open interest has come from exchanges like Binance, Bybit, and Bitget.

Technical Analysis

Technically, Dogecoin price remains below the 200-day and 50-day Exponential Moving Averages (EMA), a common bearish signal. This situation is likely to deteriorate further if the two moving averages cross to form a death cross, one of the most bearish indicators.

Dogecoin is also at a critical support level since this price was the lowest swing on May 1st and served as the neckline of a double-top pattern. This suggests that the coin could soon continue its decline, potentially reaching the psychological level of $0.10.

Stay updated with the latest news and trends in the cryptocurrency market by exploring more on Global Crypto News.

Post Views: 6