DOGE Declines Below $0.23 Amid Selling Pressure and Trade Tensions
Dogecoin (DOGE) has fallen below key support amid selling pressure, influenced by global trade tensions and security concerns. Despite whale wallets accumulating nearly 100 billion DOGE, the price action indicates potential risks for traders.
News Background
- Whale wallets increased holdings by 680 million DOGE in August to 98.56 billion tokens.
- Qubic’s community voted to target Dogecoin for a potential 51% attack after previously attacking Monero.
- Global trade wars and tariff announcements have created a risk-off sentiment in crypto markets.
- DOGE's bullish golden cross pattern failed to generate upward momentum as selling pressure intensified.
Price Action Summary
- DOGE dropped 6% from $0.24 to $0.23 between Aug. 17–18.
- The token experienced 7% intraday volatility within a $0.02 range.
- A midday surge to $0.24 on 916.22M volume was reversed by sellers.
- In the final session, DOGE fell 2% in one hour, breaking below $0.23 on 67.85M volume.
- Support at $0.23 failed, increasing downside vulnerability.
Technical Analysis
- Resistance capped DOGE at $0.24, triggering sell-offs.
- Breaking of the $0.23 support zone reduced near-term buying interest.
- Volume spikes during breakdowns suggest continuation risk rather than reversals.
- The golden cross formation remains intact but lacks confirmation for upside movement.
- $0.23 is critical for potential recovery attempts.
What Traders Are Watching
- Whale accumulation trends amidst network security issues.
- New downside targets if $0.23 does not hold.
- Derivatives positioning with open interest exceeding $10 billion.
- Reactions to Qubic’s community targeting Dogecoin with a 51% attack.
- Market response to macroeconomic news related to trade wars.