Bitcoin News Today: Dogecoin Falls 5.81% as Bitcoin Drives Altcoin Market Lower

Dogecoin (DOGE) fell 5.81% on Monday, August 25, 2025, amid Bitcoin’s pullback below $112k, amplifying bearish momentum across the altcoin market. The decline intensified pressure on DOGE, which has been trading between $0.142 and $0.25 since March 2025. A failed breakout attempt in July followed Bitcoin’s price correction from $120k to $114.7k, and recent moves suggest a retest of the $0.20–$0.21 support zone is likely [1].

Momentum indicators, including the Relative Strength Index (RSI) and On-Balance Volume (OBV), reflect increasing distribution pressure. Both metrics show weakening bullish momentum, with RSI falling below the midline and OBV trending downward [1]. A 2-week liquidity heatmap from CoinGlass highlights that the $0.24 level has been swept, suggesting heavy selling activity. The next significant liquidity cluster lies near $0.207, just below a short-term bullish order block on the 1-hour chart [1].

Historically, buyers have shown defensive strength near $0.21, which previously allowed DOGE to bounce toward $0.241. For bulls to regain control, DOGE must first reclaim $0.224, a key support level, and then move above $0.241 to shift momentum in favor of buyers. Failure to hold $0.207–$0.21 could expose DOGE to further downside toward the long-term range floor of $0.142 [1].

The altcoin market cap declined approximately 4% during the session, aligning with Bitcoin’s rejection near $113.6k. This interdependency between Bitcoin and altcoins is crucial for traders monitoring trade setups. If Bitcoin remains below $112k, the bearish bias for DOGE is likely to persist [1].

Traders are advised to closely monitor RSI and OBV for momentum confirmation. Additionally, Bitcoin’s price action serves as a leading indicator for altcoin performance. A sustained rebound in DOGE would require both a reclamation of $0.224 and a firm close above $0.241, supported by improved order flow and stabilization in the broader market [1].

Source: [1] Dogecoin Could Retest $0.21 Zone After 5.8% Drop Amid Bitcoin Dip Below $112K August 26, 2025 (https://en.coinotag.com/dogecoin-could-retest-0-21-zone-after-5-8-drop-amid-bitcoin-dip-below-112k/)