A crypto strategist known for not supporting crowd-endorsed price movements warns that Dogecoin (DOGE) might decline even if Bitcoin (BTC) reaches all-time highs.
Analyst’s DOGE Commentary
Credible, a well-known analyst in the market, made significant statements on social media platform X. He shared with investors how DOGE might experience a decline regardless of the next move on the BTC side.
According to the analyst, there are two main ways a meme coin like DOGE can be rejected and lose value:
- BTC gets rejected and loses blood.
- BTC creates such a big and strong impulse candle that the collective attention of the space shifts to BTC for a while, and liquidity starts flowing from other 10,000,000 altcoins (DOGE being one of them) to BTC…
As has been experienced from past to present, while some projects are expected to be exceptions in the outflow of liquidity from some altcoins, some projects are expected to be more affected than others.
Last week, Credible stated that BTC could make a sharp price movement towards $100,000 in the future. In such a scenario, the analyst noted that investors might liquidate their altcoin holdings to participate in the BTC rally.
Another well-known market analyst, Ali Martinez, continues to closely follow the leading memecoin. According to Martinez, there is a possibility of encountering strong resistance in Dogecoin, but if DOGE bulls can surpass the $0.171 area, the memecoin could see a 100% increase.
Dogecoin encounters significant resistance between $0.166 and $0.171, where about 10 billion DOGE are held by 75,500 addresses. However, once this barrier is overcome, DOGE will have the potential to double, with the next key resistance around $0.322.
Current DOGE Price
At the time of writing, DOGE was trading at $0.1649. This occurred after a 1.32% decline in the last 24 hours. The 1.28% drop in DOGE over the past 7 days has also not gone unnoticed.
DOGE’s market cap has fallen to $23.7 billion following the price drop, positioning it 8th on the Coinmarketcap ranking.
When examining the 24-hour trading volume, an increase was noticeable. DOGE’s 24-hour trading volume rose by 12%, reaching $1.5 billion. This increase in trading volume despite the price drop has also sparked short-selling rumors.
