Saad Ullah
Dogecoin (DOGE) got hammered on Monday, dropping 9.24% from $0.248 to $0.226 as institutional sellers basically dumped their bags. The meme coin managed to bounce back from its worst levels, but the bears are still running the show.
The selloff was brutal – DOGE saw its biggest single-day drop in weeks with trading volume more than doubling to 918 million. Most of the damage happened between 13:00 and 14:00 UTC when sellers went crazy. Though DOGE tried to recover in the final hour, climbing from $0.223 to close at $0.226, it couldn't break through key resistance levels.
DOGE (DOGE) Price Reflects Broader Market Weakness
Monday's crash wasn't just a DOGE thing – the whole crypto market is dealing with risk-off vibes. Central banks are getting cold feet about rate cuts because inflation is still being stubborn, which is bad news for speculative stuff like meme tokens. Add in some geopolitical drama and trade worries, and you've got institutions backing away from risky crypto plays.
The trouble started when DOGE hit $0.248 early in the session around 05:00 UTC. What looked like normal profit-taking turned into panic selling during U.S. hours, with the token breaking through multiple support levels before finding some help near $0.223. That's a $0.025 trading range – basically 10.39% intraday volatility that shows just how shaky things are right now.
The really heavy selling happened during that 13:00-14:00 UTC window when volume exploded to 918 million – more than double the usual 410 million. That kind of volume surge screams institutional selling, probably from bigger players cleaning house or following risk management rules when macro conditions get ugly.
DOGE (DOGE) Technical Analysis Shows Bears Still in Charge
The charts aren't looking great for DOGE right now. The token's failure to get back above $0.240-$0.241 during its recovery attempt shows bears are still calling the shots. This resistance level has been tested and rejected multiple times, creating a clear ceiling that bulls just can't break through.
But there's a silver lining around the $0.223-$0.225 support zone. Some accumulation patterns showed up at these levels, with volume spikes suggesting maybe some institutions are bottom-fishing. The fact that this support held on two separate tests, including a final-hour probe with 553 million in volume, means some traders think current prices are decent entry points.
The 60-minute bounce after the heaviest selling also hints that things might stabilize short-term. While the overall momentum is still bearish, declining sell volume toward the session's end suggests the most aggressive sellers might be done. That could give room for a more measured recovery, though any real bounce will need to clear some serious technical hurdles.
Looking ahead, DOGE is at a critical spot. A clean break above $0.241 would be needed to confirm any trend reversal and could open the door back to recent highs. But if the current support at $0.223 breaks, DOGE could slide toward $0.215-$0.218.
Everyone's watching upcoming U.S. inflation data and Fed communications, which could drive the next big move across all risk assets. The macro environment is still tough for meme tokens like DOGE, as institutions keep prioritizing safety over speculation.
Saad Ullah
