Altcoins News

Story: Dogecoin Drops Below Key Support as Bears Take Control

By Evie Vavasseur

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Dogecoin took another hit Friday. The meme coin slipped under $0.0950 against the dollar and can't seem to catch a break, now trading around $0.

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The selloff pushed DOGE past several key support zones, breaking below $0.0932 in what traders called a messy session. A bullish trend line at $0.

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DOGE tried to bounce back above $0.0900 but hit a wall at the 38.2% Fibonacci retracement from the recent $0.0977 high down to Friday's $0.0885 low.

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But there's still hope for bulls if they can get their act together. A close above $0.0950 might open the door to $0.0975, and from there DOGE could test the psychological $0.

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The downside risks look scarier though. If DOGE can't reclaim $0.0932, the next support sits at $0.0885 - that's where we are now. Below that, $0.

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Technical indicators paint a grim picture. The hourly MACD crossed into bearish territory while RSI dropped below 50, showing sellers have momentum on their side.

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Elon Musk threw another curveball into the mix with a cryptic tweet about "diamond paws" that left traders scratching their heads.

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Robinhood reported a 40% jump in DOGE transactions as retail investors either bought the dip or cut their losses.

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Sarah Zhang from Bloomberg thinks upcoming inflation data could shake things up even more. She's watching how macro factors might influence crypto markets, especially if the Fed…

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The next few trading sessions will be crucial. Support at $0.0885 is being tested right now, and if it breaks, the selloff could accelerate quickly. Resistance at $0.

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The broader meme coin sector is feeling similar pressure, with Shiba Inu down 6% and Pepe coin losing 4% over the same period.

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Options data from Deribit shows put volume spiking 60% compared to calls, indicating traders are positioning for further downside.

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