Dogecoin (DOGE) Price Dips 1.2% as "DOGE Day" 2025.04.20 Event Fails to Spark a Rally

DOGE experienced a 1.2% price dip to $0.159 on Sunday, April 20, as the community celebrated “DOGE Day” 2025.

Dogecoin price slipped 1.2% to $0.159 on Sunday as the community celebrated "DOGE Day" 2025.

The annual event, which usually sparks excitement and price rallies for the memecoin, showed a more muted response this year amid mixed market sentiment and political factors.

The world's largest memecoin, with a market cap of $23.2 billion, failed to break out of its consolidation range below $0.17 despite the celebration. The broader crypto market also traded sideways, with Bitcoin holding near the $83,000 level.

'DOGE Day,' celebrated every April 20, started as an internet movement in 2021 to push the cryptocurrency to $1. It’s since evolved into a yearly event marked by online campaigns, memes, and trading activity.

Unlike previous years when DOGE Day sparked double-digit gains, this year's celebration fell short of expectations. The cryptocurrency has slipped over 12% from its local April high of $0.17, which was reached on April 12.

Elon Musk in the Hot Seat

A key factor affecting Dogecoin's price has been recent backlash against Elon Musk, the cryptocurrency's most influential supporter. Musk, who now heads the Department of Government Efficiency (DOGE) within the Trump administration, has come under fire after job cuts triggered nationwide protests.

This has soured investor sentiment and brought a focus on Trump's renewed trade tariffs. As a result, assets linked to Musk, such as Tesla stock and Dogecoin, have struggled in recent weeks.

Tesla's share price closed at $241 on Friday, decreasing by 4.15% over the past trading week. This parallel decline highlights how closely Dogecoin's fortunes remain tied to Musk's public perception.

The muted price action on DOGE Day confirms that investors remain hesitant to enter large positions amid the current market conditions.

Dogecoin Technical Analysis: Potential for Further Declines

Technical indicators suggest that Dogecoin may see further declines in the coming days. The cryptocurrency is currently trading below the 5-day, 8-day, and 13-day simple moving averages, which form a resistance band between $0.156 and $0.157.

The Relative Strength Index (RSI) stands at 43.95, slightly above the signal line at 43.06. This indicates a mild attempt at recovery, but it remains in bearish territory below 50, highlighting the lack of strong buyer conviction.

Given these conditions, some analysts predict that Dogecoin price could break below $0.15 and tumble toward $0.142, a level last tested during the April 13 sell-off.

"Dogecoin price structure has been converging into a triangle pattern, indicating Market Indecision. Buyers hesitate to buy high, while sellers are cautious in selling low, leading to conservative behavior on both sides. This pattern typically occurs between a downtrend and an uptrend."

Conflicting Predictions: Short-Term Bearish, Long-Term Bullish?

Despite the short-term technical bearish signals, not all predictions for Dogecoin are negative. Crypto commentator "Steph is Crypto" suggests that the memecoin may be setting up for an "epic" price surge exceeding 500%.

According to their chart analysis, a "bottom signal" is flashing for Dogecoin following a 129-day downtrend. This pattern, spotted previously during a previous market cycle when Dogecoin soared 501%, could see the memecoin rise to $0.73583 in the coming weeks.

However, alternative analysis suggests that Dogecoin may first see a dramatic fall. SwallowAcademy on TradingView suggests a 40% drop to the $0.09 support level is possible before any potential rebound to retest the $0.45 level.

Dramatic Shifts in Dogecoin Holder Behavior

Market intelligence company IntoTheBlock's data reveals significant shifts in Dogecoin holder behavior. Long-term holders, who have held the cryptocurrency for over a year, decreased by 2.67% last month, while mid-term holders, with a holding period of one to 12 months, saw a reduction of nearly 12%.

Conversely, short-term traders, holding the cryptocurrency for less than a month, saw a surge of over 100%. This shift toward short-term speculation might indicate greater price volatility in the days ahead.

Perhaps most noteworthy is the activity among large investors. Large holder inflows rose over 5% in the last week and were up 324% over the past 30 days, according to IntoTheBlock.

This substantial increase in whale activity suggests that major investors may be positioning themselves for future price action, even as daily trading volume continues to be dominated by smaller, short-term traders.

For now