Dogecoin has not seen many fundamentals since the start of 2024, and due to this trend, the hype surrounding it seems to be dwindling. Additionally, the emergence of other memecoins is gradually taking investors’ attention away from them.
On-chain data also indicates that DOGE is seeing less inflow. Coinglass data shows that the DOGE funding rate flipped bearish, and notable outflows were seen at the time of writing. The negative funding rate took effect on June 15. Although the spell briefly ended, it continued on the 18th.
Currently positive, the asset is still experiencing notable outflows. Such outflow occurred during the previous intraday session, which saw the coin lose almost 3%. Negative funding also accounted for the over 10% it saw last week.
The token increased by over 2% despite a more than -3% open interest two days ago. The asset is also seeing a notable increase in trading volume, up by over 7% in the last 24 hours.
Amidst the bearish market trend, Dogecoin developers are making significant adjustments to the ecosystem. One such adjustment is the introduction of Libdogecoin. The developers claim that the new tool will completely implement the Dogecoin Protocols.
The latest development will allow anyone to build a Dogecoin-compliant product without worrying about the crypto functions’ deeper, complicated specifics. Although introduced in 2023, Libdogecoin is undergoing further improvements.
Current Price Trend
DOGE has remained within a horizontal channel. The asset remained below the first pivot support at $0.127 for over a week as it failed to flip this critical level. Due to this failure, the coin has not registered any significant price changes since the start of the week. The candle representing the session is a doji.
The accumulation and distribution channel shows a massive struggle for dominance between the bulls and bears. The metric shows significant volatility as both factions have different levels of dominance over the token.
Nonetheless, the moving average convergence divergence is printing buy signals amidst the range-bound price movement. It had a bullish divergence on June 27. The 12-day EMA continued its ascent since the interception.
Dogecoin is Billed for Breakout
The range movement started on June 18 and is ongoing. The duration of this trend suggests that a breakout is imminent. However, the direction of such a change in trend is uncertain.
This comes amidst MACD’s reading. Nonetheless, with the asset out of the danger zone, the bulls will look to resume the uptrend. One of the critical levels to watch is the 200-day exponential moving average. Since dropping below it on June 17, all attempts at regaining it have failed.
Nonetheless, the current rangebound movement could signify that the bulls are accumulating and building momentum. A breakout will guarantee a flip of this crucial level. After gaining composure above it, the mark will serve as support. As previous price movements showed, there is a significant demand concentration at it.
The buyers will look to sustain the surge and reclaim the 61% Fibonacci retracement level at $0.140. It remains to be seen how prices will react from there.
On the other hand, the coin may see further retracement. It is crucial for the bulls to hold prices at the current level. Failure to do so will result in the asset dropping to the 78% Fib level. Several attempts at flipping it failed. This critical mark may hold up before the bull run resumes.
