Key control:
Dogecoin whales download large volumes from Dux, pointing out risk aversion.
The decrease in open interest and daily active addresses indicate less demand for Dux.
The ascending wedge pattern of Doge indicates a bassist investment with a 45%price drop potential.
The price of Dogecoin (Doge) has decreased by more than 24% after reaching a multimantard of $ 0.28 on July 21. As a result, the largest holders of Memecoin have been discharging Dux during recent price decreases, indicating their lack of confidence in a possible rebound in the coming weeks.
Dogecoin Ochain Metrics suggests more losses
The interest of investors in Doge remains moderate according to derivative data. The open interest of Dogecoin Futures (OI) has dropped to $ 3.24 billion after reaching a maximum point at $ 5.35 billion on July 22. An 8% decrease since Sunday implies a reduced speculative positioning and less merchants who bet on short -term price increases.
The wallets that have $ 10- $ 100 million dux have decreased by 6% since the end of July, according to Santiment data.
This reflects a earlier The transaction marked by the whale alert that 900 million Dux, with a value of more than $ 200 million, were transferred to Binance by an unknown whale, which raises concerns about short -term sales pressure.
In general, when large headlines distribute an asset while prices fall, he points out that they see risks of greater decreases.
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Meanwhile, the number of active daily addresses in the Dogecoin network has fallen significantly to 58,000 compared to a peak of 1.65 million in the fourth quarter/2024 and 674,500 in July, which suggests a weak network activity.
A decrease in active addresses indicates a lower user participation in the network, possibly reflecting a diminishing retail interest.
Doge Rising Wedge Pattern is directed $ 0.12
From a technical perspective, the sales pressure on Dux could obtain a significant impulse down if it breaks below a growing wedge pattern.
In the technical analysis, an ascending wedge is an bearish investment chart pattern that includes two convergent trend lines that connect higher and higher higher altibys. This convergence indicates that bulls are losing impulse.
Doge Price is currently trying the support provided by the lowest wedge line at $ 0.218.
A break below this level will probably trigger a deeper drop in the price, with a technical objective of wedge at $ 0.12, a 45% decrease in current prices.
The Relative Force Index (RSI) also shows weakness, falling to 49 of overcompra conditions at 85 on July 20, indicating that the bearish impulse has accumulated constantly.
As Cointelegraph reported, Doge Price must be kept above the $ 0.19-,20, or mobile averages of 100 days and 200 days, to avoid further losses towards $ 0.16.
This article does not contain advice or investment recommendations. Each investment and trade movement implies risk, and readers must carry out their own investigation by making a decision.
