Dogecoin (DOGE), the king of the meme coins, has recorded downward movement despite the bullish momentum in the broader sector, with a focus on Bitcoin (BTC). In the last 24 hours, Dogecoin’s price has dropped by over 2.5%. This anomaly has triggered massive liquidation for DOGE bulls.
$1.56 million Dogecoin wiped out in just four hours
CoinGlass data shows that, in the last four hours, Dogecoin investors betting long on the meme coin have suffered 2,925% losses as the price failed to rise with the broader market. DOGE, valued at $1,560,000, was wiped out within this short period due to the meme coin’s poor performance.
Short traders were also affected by the price outlook. Bearish investors still recorded some losses, although mild. These traders lost $51,580 within the same time frame.
Notably, the meme coin failed to rise as it faced stiff resistance as it approached the $0.2620-$0.2640 zone. The price range is significant as Dogecoin, worth over $660 million, was offloaded at this level during the market downturn.
It has remained a pivotal point for the meme coin, as most holders go for profit each time DOGE climbs close to it. Dogecoin bulls might need to show more support to break the pattern.
As of press time, Dogecoin is changing hands at $0.2569, which represents a 0.62% decline in the last 24 hours. The meme coin earlier dipped to a low of $0.2509, testing the $0.25 support before recording a slight upward move.
Despite the price drop, market participants remain active as volume has stayed in the green zone. Trading volume is up by 2.75% to $3.17 billion, suggesting likely accumulation by investors taking advantage of the dip.
Could broader market rescue DOGE?
Interestingly, the Dogecoin price showed signs of promise about 48 hours earlier, as it confirmed a golden cross. Market participants and investors alike interpreted the bullish sign of the start of an “Uptober” rally. The current situation might not be a cause for worry if ecosystem bulls step up.
Worthy of mention is that investors had maintained a bullish outlook on the meme coin at the start of the month by committing about $3.96 billion to Dogecoin’s future derivatives market. Such a surge in open interest signals the level of confidence from members of the community.
The coming days will reveal how DOGE performs, particularly as Bitcoin is witnessing a rally on the broader market. The leading crypto asset might positively impact the king of meme coins.