Dogecoin Price Down 4%: What Is Happening?

Recently, Dogecoin (DOGE/USD) experienced a price drop of 4.2%, now standing at $0.3167. Despite this bearish trend, there has been a notable increase in whale activity concerning Dogecoin, sparking speculation among traders about a potential bullish phase on the horizon. Many are curious to see how these whales might influence the market moving forward.

Cryptocurrency	Price	Market Cap	24-Hour Trend	7-Day Trend
Dogecoin DOGE/USD	$0.3167	$46.7 Billion	-4.2%	-12.6%
Shiba Inu SHIB/USD	$0.00002171	$12.8 Billion	-5.4%	-9.7%
Pepe PEPE/USD	$0.00001738	$7.3 billion	-6.9%	-9.3%

Trader Insights: One notable trader, Javon Marks, has pointed out historical trends which indicate that Dogecoin might surpass the 1.618 Fibonacci Extension level, a mark it has reached in past cycles. If Dogecoin follows this pattern, it could see a price increase of approximately 570%, potentially reaching $2.28 or even higher.

Crowtrades, a respected figure in the trading community, has expressed confidence in Dogecoin’s future, firmly stating, “$1 is a promise.” Such optimism hints that many traders believe in a comeback for Dogecoin despite current market conditions.

Another trader, known as Tardigrade, has noticed consolidation patterns in Dogecoin’s price action that resemble prior movements just before Dogecoin's significant price pump in January 2021. He anticipates that January 2025 may witness another explosive breakout, invigorating traders' spirits for the upcoming months.

Current Statistics: According to data from Coinglass, short liquidations for Dogecoin have reached $845,000, marking the lowest levels recorded since October 25. This statistic contributes to the narrative of potential recovery as fewer traders appear to be betting against Dogecoin at this point.

Crypto chart analyst Ali Martinez mentioned on X that there has been considerable accumulation of Dogecoin by whales, with reports indicating they purchased 270 million DOGE over the last four days. This substantial movement raises questions among traders about whether these actions could herald an upcoming bull run for the popular meme coin.

Read Next:

• Dogecoin, Shiba Inu Could Underperform Against Stronger Cryptos, Trader Warns: Here’s Why

Image: Shutterstock

This narrative was partially created using AI tools and has been revised for clarity.

Dogecoin, Whales, Trader