- DogeCoin expands a recent high fall from a high level, leading to a liquidation of $ 53 million.
- The active addresses of Dogecoin are significantly below the levels seen in June and May, which suggest adoption and demand catalyst deficiency.
- In the futures, the interest in a slowdown Doge open the interest to $ 4.34 billion with a sign of $ 5.35 billion.
The price of the DOGECOIN (DOGE) is trying to recover on Thursday after leaving about 23% from its high level of $ 0.2873 on Thursday and testing $ 0.2219 as support. The meme coin leading by the market captivisation scrambles at about $ 0.2372 at the time of writing, which marks a decline of more than 1.5% a day.
Dogi’s short-term approach appears to show recession, as indicated on a 4-hour chart below. This can expand the weak spirit in the derivative market, which has begun to reduce the futures open interest (OI).
DogeCoin Network Activity slows headwinds as slow
DogeCoin is facing headwinds from both micro and fundamental aspects, which can prevent the price from increasing to $ 0.2873 recently. According to Bhavna, despite an 84% increase in the price of $ $ 0.1568 of 1 July recently, Dog has not increased interest.
The metric under the daily active address suppressed the network activity, actively interacts with the protocol below the average below the average below the levels seen on the peaks in June and May.
Around 70,000 addresses interact with the network, sending and receiving DOGE on Tuesday, compared to 517,000 and 675,000 peaks in June and May respectively. In other words, despite an increase in the recent price of dogcoin, interaction and rapid speculation compared to previous months. If this metric stays at the current levels, it will not be easy to maintain your uptrend for the price of Dogi.
Dogcoin daily active address data | Source: Santosh
The fall in price in the last 24 hours reflects a significant decline in the dogcoin futures contract open interest, which was an average of $ 4.34 billion at the time of writing, after reaching $ 5.35 billion on Tuesday.
The OI refers to the remarkable value of the outstanding dogcoin futures or option contracts in the market. A recession in this fundamental metric indicates a decline in interest in tokens; Therefore, the demand slows down, resulting in the price falls or a decrease of speed.
Dogcoin futures open interest | Source: Curring Class
The recession in the price triggers an increase in liquidity in the derivative market, eliminating $ 53 million in the last 24 hours. In shorts, long position holders compared to about $ 7.8 million, compared to 85% or $ 45 million compared to the lion part of the liquidation.
If the decline persists, a long squeeze may press the price of Dogi near the support tested at a long squeeze $ 0.2219 or even the bottom leg may extend about 13% expansion to the next temporary support at $ 0.2064.
Dogecoin derivative market data | Source: Curring Class
Technical approach: Dogecoin provides signs of recession
The DOGECoin price flaunts a short-term sales signal, which is triggered by the average convergence deviation (MACD) indicator on Tuesday on a 4-hour chart. The traders looking at the indicator have begun to reduce the exposure when crossing the Blue MACD line and settling under the red signal line.
The red histogram bar below the zero line emphasizes that the speed of the recession is clear and cannot be ignored. Meanwhile, two levels stand out for DOFE: 100-term exponential moving average (EMA), which provides support at $ 0.2244, and serves as resistance to 50-day EMA, $ 0.2428.
A brake on either side of this limit can provide insights in the direction that can maintain the price of dogcoin in the upcoming sessions.
Doge/USDT 4-hour chart
The relative power index (RSI), which stabilized the trend at 36 before reversing up to 40 upwards, indicates that the speed of rapid speed is the construction. However, traders must consider the fall from the overbott area at 78, which can still weigh on the meme coin, keeping the price at $ 0.2044 of the 100-term EMA support.
