Bitcoin News Today: Dogecoin Plunges 9% on July 29 as Institutional Selling and Bitcoin Weakness Drive Selloff

Dogecoin (DOGE) plunged nearly 9% on July 29, 2025, breaching critical support at $0.2220 amid a broad altcoin market selloff. The decline intensified concerns over the cryptocurrency’s price stability, with traders noting a correlation between DOGE’s performance and Bitcoin’s broader weakness. The sell-off followed a similar 9% drop on July 16, 2025, driven by heavy institutional selling, though the latter event stabilized near $0.223–$0.225 before the week’s close [1].

The July 29 selloff coincided with heightened volatility in the crypto sector, as major altcoins like SUI also recorded double-digit declines. Analysts attributed the risk-off environment to Bitcoin’s suboptimal performance, which amplified liquidity outflows across the market. Dogecoin’s drop below $0.2220—once a key psychological threshold—highlighted the fragility of speculative assets amid mixed macroeconomic signals and elevated short-term liquidations [1].

Institutional activity played a pivotal role in the July 16 decline, with large outflows pushing DOGE to a multi-week low before stabilization. Traders observed that the rebound near $0.223–$0.225 coincided with renewed institutional interest, though trading volumes remained inconsistent. This pattern mirrored broader trends in speculative markets, where equities and cryptocurrencies faced pressure from macroeconomic concerns. For instance, Tesla shares mirrored DOGE’s 9% weekly decline amid weak Q2 earnings, while ChargePoint Holdings (CHPT) fell 17% following a reverse stock split [1].

Technical analysis of DOGE’s price action revealed a tight consolidation phase in the July 29 selloff. The cryptocurrency’s ability to hold above $0.223–$0.225 could signal further buying interest, whereas a breakdown might trigger deeper corrections. Analysts emphasized that DOGE’s movement was distinct from retail-driven volatility in meme coins, as the sell-off appeared strategically driven by institutional rebalancing rather than fundamental reassessments [1].

Long-term recovery prospects remain uncertain, with on-chain data suggesting whale accumulation of 1.4 billion DOGE. Historical trends indicate potential rebounds tied to Bitcoin’s cycles, though analysts caution that stability hinges on macroeconomic clarity or technological advancements. Elon Musk’s indirect influence, including his America Party announcement, has been noted as a factor in broader DOGE discourse for 2025, reflecting ongoing sentiment shifts [1].

The sell-offs underscored the interdependence of crypto markets, where equities and digital assets face similar pressures from global liquidity conditions. U.S. Treasury yields and the dollar index further shaped risk appetite, complicating near-term momentum for DOGE. As the week progressed, the cryptocurrency’s behavior tested its resilience amid structural challenges, with market participants awaiting regulatory or macroeconomic catalysts to drive sustained recovery [1].

Source: [1] DOGE Price Tumbles 9% Amid Heavy Institutional Selling Before Finding Support (https://thetradable.com/crypto/doge-price-tumbles-9-amid-heavy-institutional-selling-before-finding-support-2--v)