Dogecoin held firm at the $0.088 support level despite sustained selling pressure. The broader memecoin market found relief as Bitcoin bounced from the $67,000 mark to around 70,938 at the time of writing, restoring short-term confidence across speculative assets.
Technical Indicators Paint a Cautious Picture
The Moving Averages on DOGE’s chart remain bearish. They are positioned to act as overhead resistance during any rally attempt. Volume data reinforces this concern as sellers continue to dominate the broader trend.
The Accumulation/Distribution (A/D) indicator trended downward despite the bounce. The Chaikin Money Flow (CMF) sat at -0.1 at press time. That reading signals substantial capital outflows, undermining the credibility of the short-term recovery.
The Directional Movement Index (DMI) had been confirming a downtrend, but the signal turned unclear toward the end of February. Over the past two weeks, the DMI failed to produce a decisive reading. That ambiguity offers a faint possibility of a trend reversal, though no confirmation has emerged.
Price action tells a similar story. DOGE formed lower highs throughout the recent downtrend, keeping the overall structure bearish. The 15% bounce over five trading days marks a notable recovery, but it has not altered the macro trajectory.
At the time of writing, Dogecoin is trading at around $0.09535, down 1.30% in the last 24 hours.
Liquidation Clusters Signal Possible Upside Target
The one-month liquidation heatmap reveals a dense cluster of short positions in the $0.10–$0.11 range. These shorts accumulated as DOGE made progressively lower highs. A rapid price move into that zone could trigger a cascade of short liquidations, pulling DOGE higher in a short squeeze.
A liquidity sweep toward $0.11 is a plausible near-term outcome. Traders sitting short in that range remain vulnerable if buying momentum holds. However, such a move alone would not reverse the broader downtrend.
To signal a structural trend change, DOGE must clear $0.127. That level represents the threshold where the longer-term bearish thesis breaks down. Anything short of that keeps the market in a corrective bounce rather than a full recovery.
Source: https://coinpaper.com/15431/dogecoin-price-prediction-can-doge-break-0-10-after-defending-critical-0-088-support
