Despite flashing a bullish golden cross, where the 50-day moving average crosses above the 200-day, Dogecoin failed to sustain upward momentum.
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Instead, heavy selling pressure drove DOGE from $0.24 down to $0.22, marking a 6% drop within 24 hours. Intraday volatility spiked at 7%, as a midday rally was quickly crushed by late-session selloffs.
Volume analysis points to stronger conviction from sellers, with spikes during breakdowns rather than recovery moves. Losing the $0.23 support zone has left DOGE vulnerable to further downside, with traders now eyeing $0.2165 and $0.2150 as the next key levels.
Dogecoin Whales Keep Buying, But Confidence Wavers
Interestingly, whale wallets continue to show aggressive accumulation. In August alone, 680 million DOGE were added, pushing total whale holdings to nearly 100 billion tokens, the highest level in months.
While this suggests long-term confidence, the accumulation has yet to translate into upward price momentum, as technical damage from repeated rejections at $0.24 resistance weighs on short-term sentiment.
Market analysts warn that if whales pause accumulation amid network risks, the lack of strong buyer support could trigger a deeper freefall below the current $0.22.ç
DOGE's price moving sideways on the daily chart. Source: DOGEUSD on Tradingview
Qubic Vote Sparks Security Concerns
The latest blow came when Qubic, an AI-driven blockchain project, announced that its community had voted Dogecoin as its next proof-of-work target.
The move follows Qubic’s controversial 51% attack on Monero, which allowed it to reorganize blocks and manipulate transactions, forcing Kraken to suspend Monero deposits.
With Dogecoin’s market cap above $35 billion, the stakes are considerably higher. A successful attack could disrupt transactions, enable double-spending, and dent investor confidence.
While some experts argue DOGE’s larger network makes it harder to compromise, others caution that the intent alone has raised red flags across the crypto industry.
DOGE Outlook: Make-or-Break at $0.23
Dogecoin’s immediate future hinges on whether bulls can reclaim the $0.23 level. Failure to do so could open the door to deeper losses, especially if Qubic escalates its campaign against the network.
For now, traders are closely monitoring derivatives positioning, whale behavior, and global trade tensions that continue to pressure risk assets.
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Dogecoin may have survived many market downturns, but this time, both technical fragility and network security are in question, making the coming weeks critical for the memecoin’s stability.
Cover image from ChatGPT, DOGEUSD chart from Tradingview