Dogecoin traders have experienced massive losses, totaling over $65 million within 24 hours, marking the largest liquidation event of 2025. This sudden downturn came after DOGE surged to $0.43 on Sunday but later plummeted to $0.36, as per data from Coinglass.
The Liquidation Breakdown
Of the $65 million lost, long traders suffered the most, with $54.81 million liquidated, while short traders lost $7.90 million. The initial price rebound to $0.43 triggered short liquidations earlier in the day, but as the price tumbled to $0.35 later, long positions were hit hard.
This liquidation wasn’t limited to Dogecoin. The crypto market as a whole saw over $1 billion liquidated within 24 hours, making it the largest event this year. Long positions accounted for $903.59 million of these losses, highlighting the market’s vulnerability to sudden price movements.
Market-Wide Impact
The sharp decline in Dogecoin’s value coincided with a Bitcoin drop from $106,000 to $100,000, which dragged down altcoins, including DOGE. This chain reaction was partially attributed to the unexpected launch of the meme coin ‘MELANIA’ by US First Lady Melania Trump. The launch redirected significant liquidity from existing cryptocurrencies, causing widespread market turbulence.
Given Dogecoin’s strong price correlation with Bitcoin, the decline in BTC significantly influenced DOGE’s price trajectory. Analysts note that DOGE’s crash was inevitable as Bitcoin faced pressure.
A Glimmer of Hope for Traders
Crypto analyst Kevin Capital has provided a ray of optimism, suggesting the market cycle is not over for Dogecoin. He emphasized that DOGE’s gains since November 2024, fueled by Donald Trump’s election victory and the anticipation of Elon Musk’s Department of Government Efficiency (D.O.G.E.), have significantly boosted its price from $0.11 levels.
Capital urged Dogecoin investors to remain optimistic, as the current downturn is part of a larger market cycle. The analyst believes DOGE could recover in the coming months, supported by its strong community and growing use cases.
At the time of writing, Dogecoin is trading at approximately $0.36, reflecting an 8% drop in the past 24 hours, according to CoinMarketCap.
