Dogecoin (DOGE) is under pressure after slipping below a key technical support, signaling short-term weakness. Currently, DOGE is consolidating in a tight range, making traders cautious about its future direction. Market sentiment is mixed as technical levels are tightening. The short-term trend will determine the future trend of DOGE.
Dogecoin is currently trading at $0.1243, having experienced a slight drop of 0.88% in the last 24 hours. The memecoin had a daily trading volume of $1.50 billion, with a market capitalization of $20.93 billion, accounting for a 0.69% share of the entire crypto market.
The latest price action shows DOGE has continued its short-term correction following the failure to remain above the support level of $0.1299. As indicated in a recent post by Crypto TXG, DOGE has entered a phase of consolidation, with prices ranging between the resistance level of $0.1299 and the support level of $0.1174.
If Dogecoin breaks below the support of $0.1174, it could see further declines. But if the $0.1299 level is broken, it could pave the way for another rally, indicating a possible recovery in the short term.
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Adding further to the market dynamics, on-chain data by Ali Charts reveals that 410 million DOGE have been redistributed among the whales in the past week. Such a massive transaction is often a sign of whales repositioning themselves and can have a significant impact on the market dynamics during the consolidation phase.
With Dogecoin so close to key technical levels and with big holders actively moving supply, the next trading sessions are expected to be significant in determining whether Dogecoin will move higher or continue its decline.
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