Dogecoin (DOGE) Price Prediction: Regaining Momentum

Dogecoin has faced a sharp decline over the past 10 days, erasing a significant portion of investors’ profits. The meme coin lost nearly $8 billion in market cap.

Dogecoin's price has fallen sharply in the past 10 days, wiping out a large chunk of investors' gains. The meme coin shed nearly $8 billion in market capitalization, impacting market sentiment and increasing skepticism.

This bearish sentiment, coupled with cautious investors, could delay Dogecoin's recovery.

Crucial Support for Dogecoin

Open Interest in Dogecoin has seen a significant decline, dropping by $1.2 billion in the past week. It fell from $5.05 billion to $3.85 billion, highlighting traders' waning信心. The price decline triggered an exodus from the futures market as traders closed their positions to stem further losses.

This decline in futures trading indicates that investors are holding back on making new bets until the market stabilizes. Speculative activity around Dogecoin has slowed with the lower Open Interest.

Dogecoin's overall macro momentum aligns with the bearish sentiment, extending beyond the derivatives market. The Chaikin Money Flow (CMF) indicator has remained below the zero line, signaling weak inflows.

This suggests that investors are hesitant to commit fresh capital, further delaying a potential price recovery.

The lack of inflows in the spot market underscores Dogecoin's vulnerability. Traders continue to be wary of putting their funds at risk, keeping the meme coin within a narrow range. DOGE may have difficulty gaining upward momentum until inflows improve.

DOGE Price Prediction: Building Momentum

Dogecoin's price has declined nearly 15% in the past 10 days, currently trading at $0.33. The meme coin is attempting to secure the $0.32 support level. Holding this level is crucial to prevent further declines and stabilize the price action.

Investor skepticism and weak market confidence could prolong DOGE's consolidation. The meme coin may continue to trade below the $0.36 barrier if sentiment does not improve. In this scenario, Dogecoin could also become susceptible to a drop below $0.30.

However, if Dogecoin manages to flip $0.36 into a support level, it could invalidate the bearish outlook. A move past this resistance could set DOGE on a recovery trajectory, pushing its price toward $0.39, helping it recoup some of its recent losses.