In the trading sessions on July 23-24, Dogecoin 
$0.136431 encountered a sharp depreciation, with its value diving from $0.26 to $0.24, marking an 11% drop. During this period, the total trading volume surged beyond 2.26 billion tokens, one of the highest transaction intensities observed in recent weeks.
Market Conditions and Core Factors
Analysts attribute Dogecoin’s downturn to the market’s overall fragility and profit-driven selling by major investors. Despite a brief recovery early in the trading day at $0.23, Dogecoin failed to regain the $0.25 resistance level, culminating in a lower closing figure.
Precautionary stances in cryptocurrency markets stem from global trade tensions and projections of stringent monetary policies. The volatile environment experienced throughout the year has heightened uncertainty, particularly among alternative digital assets.
Details on Price Movements
Dogecoin experienced a substantial daily fluctuation of 12% between $0.26 and $0.24. The most significant depreciation transpired on July 23, notably between 13:00 and 17:00. During this interval, repeated rejections at $0.25 combined with increased volume accelerated the downward trend, with a fresh selling wave initiated at $0.24 in the session’s final hours, resulting in over 30 million tokens changing hands within a minute. Brief recovery attempts were capped at $0.23.
Following an initial influx due to Bit Origin’s treasury disclosure earlier this month, mass sell-offs by large investors dissipated rising expectations swiftly.
Technical Indicators and Expert Insights
According to CoinDesk Research’s technical analysis model, failing to breach the $0.25 mark multiple times indicates this level has become a formidable resistance point. Near the close, high-volume sales and liquidations around $0.24 drew attention.
CoinDesk Research’s technical assessment highlighted that the hourly RSI is within oversold territory, but a buy-side reversal signal remains absent.
Currently, the $0.23 support level stands out. If breached, prices may decline towards $0.21. Volume analysis suggests sales originate from major portfolios rather than individual investors.
Investors vigilantly monitor market actions, particularly surrounding $0.23. Failure to hold this line could signal a new wave of declines, while sustaining above $0.25 might indicate a potential trend reversal.
Dogecoin’s recent depreciation is underpinned by market volatility, global economic concerns, and institutional sell-offs. Technical indicators and trading volume data point to large player sales over retail investors’ actions. The $0.23 level, where investors focus, could determine short-term price direction. As with any investment decision, considering risks, alongside technical and fundamental analysis, ensures preparedness for potential price fluctuations.
