- Dogecoin’s recent 19% surge and subsequent 7% loss.
- Significant drop in trading volume by half, impacting overall market activity.
- Despite setbacks, Dogecoin’s funding rate holds positive, showcasing trader confidence.
In a surprising deviation from the broader market trends, Dogecoin (DOGE) recently experienced a significant surge in its price, capturing the attention of crypto enthusiasts. However, the rollercoaster journey of this meme-inspired cryptocurrency has taken unexpected turns, prompting questions about its sustainability.
Analyzing Dogecoin’s recent performance on the daily timeframe chart, AMBCrypto identified a remarkable 19% increase in value between November 15th and 17th. This uptrend initially hinted at the emergence of a bullish phase, fostering optimism among investors. However, the mood quickly shifted as of November 18th, with DOGE witnessing a sudden 7% loss.
As of the latest update, Dogecoin has continued its descent with an additional 2% decline, accumulating a total loss of approximately 9% in the past 24 hours. This downward trajectory has also impacted Dogecoin’s Relative Strength Index (RSI), approaching the neutral line and suggesting a weakening bullish trend. If this trend persists, it could potentially give rise to a bearish phase.
Adding to the complexity of Dogecoin’s situation is a substantial drop in trading volume. According to AMBCrypto’s assessment of the Santiment volume chart, Dogecoin’s trading volume has halved. On November 17th, the volume stood at $2.06 billion, but the most recent data shows a significant decrease to around $1.06 billion. This reduction in volume indicates a decline in the heightened activity that initially drove the cryptocurrency’s price surge.
CoinMarketCap data reinforces this trend, revealing a notable volume decrease of over 30% in the last 24 hours. The diminishing trading activity poses challenges for Dogecoin in maintaining its recent price performance.
Despite these setbacks, Dogecoin’s community of traders continues to demonstrate unwavering faith. An additional metric, the Dogecoin funding rate, witnessed a decline following the price drop. Despite reaching 0.03% on November 16th, the Funding Rate retained a positive value, indicating that traders maintain optimism for a potential price increase. As of the latest update, the Weighted Funding Rate stands at approximately 0.008%, showcasing the resilience of Dogecoin enthusiasts in the face of market fluctuations.
As Dogecoin navigates through peaks and falls, the crypto community watches with anticipation, eager to see whether the coin can defy the odds and sustain its position in the volatile cryptocurrency landscape.
Disclaimer: Please note that the viewpoints and perspectives expressed by the author, as well as any individuals referenced in this article, are intended solely for informational purposes. They should not be construed as financial or investment advice. It’s important to acknowledge that investing in or trading cryptoassets carries inherent financial risks.