Dogecoin (DOGE) Price Prediction: Bullish Narrative Fades as Investors Ditch the Coin

Two weeks ago, Dogecoin (DOGE) price was $0.13, driving speculation that the meme coins could be circling back to its yearly high. But in the last seven days, Dogecoin's ambitions of hitting that value have been waning as its price decreased by 8.86%.

Dogecoin (DOGE) price encountered a minor setback in the last seven days, as its price decreased by 8.86%. This price decline comes after a recent surge, which saw DOGE’s fiyatı rise by over 20%.

However, despite this setback, DOGE’s price is still up by over 100% year-to-date. This impressive performance has been driven by a combination of factors, including increased interest from retail investors, crypto whales and institutional investors.

As a meme coin, Dogecoin’s price is known to be highly volatile, and it can experience both sharp increases and decreases in a short period. This volatility is largely due to the speculative nature of the coin, which makes it a risky investment.

Here's a technical analysis of DOGE's price action over the past 24 hours:

DOGE’s Open Interest was $1.35 billion on Monday, October 7. Open Interest is the total sum of all open positions or contracts in the market. Technically, the OI, as it is commonly called, measures speculative activity.

When the OI increases, buyers are aggressive and are pumping more money into the contracts. A decrease implies that sellers have the advantage and are increasingly closing existing positions.

Today, DOGE’s OI has plummeted to 801.99 million, indicating that traders removed about 458 million from contracts related to the cryptocurrency within the last 24 hours. From a price perspective, this massive decline suggests that Dogecoin’s price is likely to dump into the underlying support.

As the world’s biggest meme coin, Dogecoin (DOGE) has been a favorite among retail investors. But recent data from IntoTheBlock suggests that large investors, known as crypto whales, have also been accumulating DOGE in anticipation of a potential breakout.

According to IntoTheBlock's Large Holders Netflow metric, crypto whales have been buying more DOGE than they have been selling over the past seven days. This netflow, which is calculated as the difference between the value of coins crypto whales bought and sold, has been positive throughout this period.

This buying activity by crypto whales is a bullish sign for Dogecoin, as it suggests that these large investors are expecting the coin to continue rising in the short term. However, it is important to note that this buying activity could also be a response to the recent price increase, and it may not necessarily guarantee a further increase in the coming days.

Here's a look at DOGE's price prediction:

A look at the daily DOGE/USD chart shows that the coin has formed a head-and-sqoulders pattern. This pattern indicates that an upward trend is nearing its end and is a notable bullish-to-bearish reversal.

As seen below, Dogecoin’s price is $0.10, exactly at the neckline of the pattern. The trading volume also shows fluctuations, but notably, selling activity outpaces buying pressure. Due to this position, Dogecoin’s price is likely to drop to $0.093. If the price breaks below this level, it could decline to $0.080.

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