Sudden Selling Causes Sharp Pullback of Dogecoin in Market
Dogecoin’s price saw a sudden drop following a rejection below the $0.08 resistance level after showing bullish sentiment along with other altcoins. However, buying pressure suggested a short-term recovery was possible. The meme coin’s market structure was bearish, with momentum being neutral, and sentiment favoring sellers. DOGE managed to push above the recent lower high of $0.081 before immediately crashing again to $0.0748, leaving both bulls and bears hurt by the developments. While the OBV has shown steady buying volume over the past three days, the momentum and the market structure of DOGE have been bearish. The fall beneath $0.0775 has meant the RSI was at 48 to show that an uptrend was not yet in motion. Bitcoin could lead the way for the altcoin market as it has flipped 27.7k to support, and aggressive bulls could look to ride a Dogecoin breakout past $0.081 if BTC ventures above $29k again. However, market sentiment continues to favor sellers after the recent plunge in prices. The Open Interest had been rising slowly over the past two days but took a severe drop in recent hours, discouraging bulls and indicating a bearish outlook for DOGE in the lower timeframe.