Dogecoin Sees Unprecedented Sell-Off After Key Chart Breakdown... "Retail Investors Wiped Out"
Dogecoin Sees Unprecedented Sell-Off After Key Chart Breakdown... "Retail Investors Wiped Out"
Dogecoin (DOGE) has broken below the Fibonacci retracement level, a key indicator in technical analysis, raising alarms over its price defense as on-chain data continues to warn of further downside.
According to crypto-focused outlet The Crypto Basic on Feb. 11, Dogecoin recently failed to hold the 61.8% Fibonacci retracement level formed around $0.28 and has since turned downward. During intraday trading, DOGE briefly fell to the $0.22 range, heightening investor anxiety. This zone has historically been regarded as a psychological last line of defense where strong buying pressure previously emerged. Amid increasing volatility in Bitcoin (BTC), Dogecoin’s breakdown of support is fueling broader sell-off sentiment across the altcoin market.
Technical indicators suggest a grim short-term outlook for Dogecoin. The Relative Strength Index (RSI) has dropped below 40, nearing oversold territory, while the Moving Average Convergence Divergence (MACD) indicator shows an intensifying downtrend. On higher time frames, bearish momentum is building, raising the risk of a sharp سقوط toward the $0.18 to $0.20 range if the $0.22 support level collapses. Market participants note that Dogecoin must reclaim and stabilize above at least $0.28 to halt the downward trend.
A sharp decline in open interest is also adding to the bearish pressure. Data from Santiment shows large-scale liquidations occurring in the Dogecoin futures market, with liquidity drying up rapidly. Selling pressure has intensified as retail investors who entered seeking short-term gains exit positions amid falling prices. While some whale investors are placing buy orders near the $0.20 level in anticipation of a dip-buying opportunity, their efforts appear insufficient to offset the current selling momentum.
The macroeconomic environment is also turning unfavorable for Dogecoin. As risk-off sentiment strengthens ahead of regulatory policy shifts under U.S. President Donald Trump’s administration and upcoming employment data releases, meme coins like Dogecoin are among the first assets to take a hit. With the explosive rallies once linked to Tesla CEO Elon Musk’s movements failing to materialize, Dogecoin now faces a test in which its price is increasingly determined by fundamental technical indicators.
Dogecoin is currently standing above the critical $0.22 support level, and whether this zone holds will likely determine its direction in the coming weeks. Unless the price returns above $0.28, intermittent rebounds are likely to be temporary relief rallies within a broader downtrend. Investors are advised to avoid excessive leverage, closely monitor key moving averages and Fibonacci retracement levels, and maintain a conservative asset allocation strategy.
Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses resulting from its use. The content should be interpreted for informational purposes only.
<저작권자 ⓒ 코인리더스 무단전재 및 재배포 금지>
|
  많이 본 기사
English 많이 본 기사
최신기사
|
