Dogecoin Price Decline

Dog-themed cryptocurrency Dogecoin (DOGE) is experiencing significant declines due to selling pressure in the crypto market.

Dogecoin has now lost more than 15% of its value in the past two days, continuing a sharp decline that started earlier this week. As a result, Dogecoin has slipped below the 200-day Simple Moving Average (SMA) at $0.24 for the first time since October 2024. This key technical level had previously acted as a strong support zone for Dogecoin’s price.

The broader crypto market remains volatile, applying further pressure on Dogecoin’s price. Bitcoin fell below $90,000, marking its lowest valuation since mid-November. Other cryptocurrencies have also declined, with Dogecoin down 14% in the last 24 hours, trading at $0.199. An index tracking major digital tokens appears to be headed for its largest four-day decline since early August.

Altcoins continue to be under pressure as investors explore other options, with the sector still affected by the Bybit attack from last week. Since mid-December, most tokens have depreciated between 30% and 80%.

Dogecoin Price Action

Dogecoin maintains a downward trajectory, having dropped below the daily SMA 200 at $0.24 after a major shift in Monday’s trading session. The decline persisted into Tuesday, with prices reaching lows of $0.195.

According to crypto analyst Ali, the $0.19 support is critical. If Dogecoin falls below $0.19, the likelihood of a deeper correction toward $0.060 significantly increases.

Conversely, if Dogecoin bounces back from this support level and reclaims the daily SMA 200 support, it might indicate a reduction in selling pressure. In such a case, Dogecoin could attempt to rally towards the 50-day SMA of $0.30, where it might face resistance.