DOGE Price Stabilizes After Weekly Decline
Dogecoin (DOGE) held near the $0.070 support level on Tuesday after posting a 3.5% decline last week. While the broader technical structure remains bearish, improving derivatives data and bullish momentum divergences suggest selling pressure may be easing.
DOGE continued to trade below its 50-day, 100-day, and 200-day exponential moving averages (EMAs), which sit at $0.075, $0.083, and $0.100, respectively. The price action has left traders watching for a decisive break above or below the current range.
Gokhshtein Defends Established Meme Coins
Cryptocurrency commentator David Gokhshtein pushed back on Monday against traders hunting for the next Dogecoin or Shiba Inu while ignoring the market’s leading meme assets. In a post on X, Gokhshtein said some traders were “disrespecting” DOGE, SHIB, and PEPE in their search for another token with similar upside potential.
According to Gokhshtein, the meme coin sector will only rally when its largest names gain traction. He also noted that some market participants may want DOGE and SHIB to fail without understanding the potential ripple effects on other projects.
Meme Coin Market Faces Persistent Selling Pressure
SHIB and PEPE have outperformed the broader cryptocurrency market recently. Over the past month, the total crypto market capitalization fell 4.61%, while Dogecoin has not matched the relative strength seen in other major meme coins. The MarketVector Meme Coin Index is down nearly 40% year to date and slipped 2.64% in the past month.
The index carries heavy exposure to DOGE and SHIB and is calculated as a dollar-based index rather than a tradable stock or exchange-traded fund. Data from CryptoQuant also shows $1.21 billion in cumulative net meme coin selling pressure on Binance since Bitcoin reached its latest all-time high last October.
Derivatives Data Points to Possible Stabilization
CoinGlass data shows Dogecoin’s long-to-short ratio at 1.25 on Tuesday, its highest reading in over a month. A ratio above 1.0 means long positions outnumber short positions, indicating that more traders are positioning for a price increase.
Dogecoin’s funding rate also turned positive on July 24 and reached 0.0074% on Tuesday. Positive funding implies long traders are paying short traders, which is often viewed as a sign of bullish sentiment.
Technical Indicators Show Bullish Divergence
The daily Relative Strength Index (RSI) formed a higher low while DOGE posted a lower price low on August 1. This bullish divergence points to weaker downside momentum. The Awesome Oscillator displayed a similar pattern, with recent lows rising even as Dogecoin’s price stayed near support.
Key Levels to Watch
Immediate support sits at $0.070, followed by the yearly low at $0.067. A daily close below those levels could expose $0.065. On the upside, initial resistance is at $0.075, followed by $0.080 and $0.083. Higher barriers remain at $0.088, $0.100, and $0.102.
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