Dogecoin News Today: Dogecoin's $0.16 Support Test: Can Buyers Halt the Slide to $0.07?

Dogecoin (DOGE) faces a critical juncture as it tests key support levels at $0.16 and $0.07, with analysts closely watching whether the meme coin can hold these thresholds to avoid further declines. The cryptocurrency has been under pressure amid heavy selling by large holders and broader market volatility, though some experts see potential for a rebound if buyers defend these critical demand zones.

Technical indicators highlight the fragility of DOGE's current position. The Relative Strength Index (RSI) on the daily chart reads 40, signaling bearish momentum, while the Moving Average Convergence Divergence (MACD) approaches a crossover that could confirm renewed downward pressure. If DOGE fails to hold above $0.17, it risks a slide toward the $0.15704 support level, with further losses potentially targeting the $0.12896 level, marked by a key April low according to market analysis.

Analysts caution that a breakdown below $0.16 could extend the pullback to $0.07, a critical zone that has historically attracted buyers according to market forecasts.

Whale activity has exacerbated the sell-off. Over 3 billion DOGE tokens-worth approximately $520 million at current prices-have been liquidated by large holders in recent months, according to data from Santiment. These sales, concentrated in wallets holding 10 million to 100 million DOGE, have coincided with a 6% price drop since September's $0.30 peak . The exodus of institutional-sized investors has amplified downward pressure, though some analysts argue that whale selling often precedes accumulation phases in DOGE's cyclical patterns .

Recent developments offer a mixed outlook. While DOGE surged 4% on news of a potential spot ETF filing by Bitwise Asset Management, the rally failed to hold above the 20-day EMA at $0.18, a key resistance level . Meanwhile, Elon Musk's recent X post reigniting interest in the DOGE-1 moon mission briefly boosted a Solana-based memecoin but had little impact on DOGE itself, which fell 10% amid broader market weakness.

Long-term bulls remain cautiously optimistic. Historical patterns suggest DOGE could follow a familiar trajectory, with cycles of consolidation followed by explosive growth. Projections based on these cycles point to a potential rally to $7.21, though such a move would require overcoming current bearish sentiment and renewed institutional interest . For now, the focus remains on the $0.16 support level, with a successful defense potentially setting the stage for a test of the 50-day EMA at $0.199 according to technical analysis.