DOGE Crashes to Lowest Point Since 2023 — Will It Manage to Stay Above $0.067?

Dogecoin has taken a sharp hit amid the broader cryptocurrency market selloff, slipping below the critical $0.07 support level and touching $0.069 — a price not seen since October 2023. Following the initial drop, the memecoin staged a minor recovery and was changing hands at $0.071, representing a 1.47% decline on the daily chart at the time of reporting.

Notably, trading volume surged 32% to $819 million during the same window, a signal that points to intense selling activity as market participants moved to cut their exposure to the asset.

What Triggered the Decline?

The selling momentum accelerated dramatically on June 30th, when DOGE traders began offloading positions at an aggressive pace. Data from Coinalyze shows that Sell Volume jumped to 674 million that day, while Buy Volume contracted to 594 million, resulting in a Buy-Sell Delta of negative 79 million. Even as overall volume eased off, the bearish trend persisted, with Sell Volume reaching 112 million at press time. Elevated selling activity typically adds to supply-side pressure, which weakens price structure and often foreshadows further losses.

Shift in Derivatives Sentiment

The breakdown below $0.07 set off a cascade of liquidations, hitting long positions particularly hard. According to CoinGlass, more than $5 million worth of long positions were wiped out, underscoring the degree of leverage present in the market.

Under normal circumstances, mass liquidations of long positions force traders to unwind quickly to contain losses. This time, however, DOGE traders had already been reducing their positions ahead of the price decline. Futures Netflow data for the past 24 hours confirmed this, showing outflows as the dominant force, with the net figure sitting at negative $29 million.

That said, shorter time frames painted a somewhat different picture. On the 12-hour chart, inflows climbed to $163 million while outflows retreated to $152 million, pushing Futures Netflow up by 126% to $10.7 million — an indication that fresh capital began flowing back into derivatives positions after the drop.

Can Dogecoin Hold Its Ground?

Despite the brief derivatives rebound, the broader outlook for DOGE remains under pressure. Sellers continue to dominate the spot market, keeping upside attempts in check. The Daily Relative Strength Index (RSI) has slid deeper into oversold territory, registering a reading of just 21 — a level that historically signals prolonged weakness rather than an immediate reversal.

With spot market conditions still skewed toward sellers, analysts warn that Dogecoin could fail to defend the $0.07 level and may slide further toward $0.067 if conditions do not improve. For bulls to regain control and invalidate the current bearish setup, DOGE would need to post a daily close above the short-term moving averages, which are currently clustered around $0.074.

Key Takeaways

Dogecoin pierced the $0.07 support floor, touching multi-year lows at $0.069 before partially recovering. Selling pressure in the spot market remains dominant, while bullish attempts in the derivatives space have yet to build enough momentum to spark a meaningful recovery. The RSI sitting in deep oversold territory adds to concerns that the path of least resistance may still be to the downside in the near term.