Dogecoin’s 30-day low after 10% fall – Time to exit the market?

• Dogecoin value has fallen by double digits in the last seven days
• The decline in its open interest on futures contracts indicates an outflow of liquidity from its derivatives market.

Market leader Dogecoin (DOGE) extended its losses to seven days as it failed to react positively to the hype following the halving. At press time, the altcoin was valued at $0.15, seeing a slight price increase of 0.13% over the past 24 hours, according to CoinMarketCap.

In fact, DOGE’s price fell 10% over the past week, making it the only leading memecoin to experience a double-digit price drop over the past seven days.

What can coin holders expect?

On altcoin price charts, bearish readings remain significant. To begin with, DOGE price has moved below its 50-day small moving average (SMA) and has been moving below its 200-day SMA, at press time.

DOGE’s decline below its 50-day SMA confirmed the shift in market sentiment from bearish to bullish. As it heads towards its 200-day SMA, memecoin price could approach a long-term support level of $0.1.

Additionally, the Awesome Oscillator, which measures DOGE’s market momentum, was showing downward-facing red histogram bars, at the time of writing. This indicator has maintained this trend since April 14. When an asset’s Awesome Oscillator moves in this manner, it indicates that selling pressure is significant.

The drop in DOGE’s relative strength index (RSI) below its neutral line confirmed the decline in demand for the memecoin. At press time, DOGE’s RSI showed a reading of 42.87. Simply put, this value suggests that market participants are prioritizing coin sales over accumulation.

Additionally, the coin’s MACD line (blue) was below its signal (orange) and zero line at press time. This crossover highlighted that DOGE’s short-term trend is weaker than its long-term trend.

Realistic or not, here is the market capitalization of DOGE in terms of BTC

Traders see this as a sign to exit their long positions and take short positions.

Another indication that long trades may not be beneficial in the long term was the position of DOGE’s Parabolic SAR at press time. The points that make up the indicator were above its price candles.

Market participants often interpret this to mean that a market is in a downward trend and that price declines will continue.

Source: DOGE/USDT on TradingView

Finally, in the coin’s derivatives market, its forward open interest hit a 30-day low. According to Change machine According to the data, open interest in DOGE futures had a value of $953 million, at the time of writing.