Dogecoin Tanks 6% Amid $12M Long Squeeze—Will Meme Traders Defend $0.2060?

Dogecoin just got mauled by the bears. A brutal 6% drop triggers over $12 million in long liquidations—now the meme coin’s last line of defense sits at $0.2060. Retail ’hodlers’ are sweating, but let’s be real: when has irrational exuberance ever cared about support levels?

Cue the usual suspects: leverage traders crying over margin calls, Twitter threads blaming ’whales,’ and that one crypto influencer insisting ’this is fine.’ Meanwhile, institutional players sip lattes and watch the chaos unfold—another day in the casino.

Will DOGE bounce or faceplant? Either way, grab popcorn. The only certainty? Someone’s about to make (or lose) life-changing money on a joke currency featuring a Shiba Inu.

Dogecoin Price Chart However, short-term consolidation below the 50% Fibonacci level at $0.2566 has formed an inverted head-and-shoulders pattern. The neckline of this bullish pattern coincides with the 50% Fibonacci level, the $0.25 supply zone, and the descending trendline. Currently, Dogecoin is testing the 200-day EMA at $0.2168, falling below the 38.20% Fibonacci retracement level at $0.2227. Despite the intraday decline, the price remains within the potential right-shoulder phase of the bullish pattern. A breakdown below the 100-day EMA at $0.2060 would invalidate the bullish setup and increase the downside risk toward $0.1869, which is aligned with the 23.60% Fibonacci level. On the bullish side, a breakout above the neckline could lead to a 95% rally in Dogecoin, targeting the $0.50 mark. Dogecoin Futures Turn Bleak as Long Liquidations Cross $12 Million Amid the drop in spot prices, Dogecoin futures have taken a significant hit. Over the past 24 hours, open interest has declined by 1.55%, falling to $2.64 billion. Additionally, long liquidations hit $12.53 million in the same period. The drop in open interest alongside rising long liquidations signals growing bearish dominance in Dogecoin futures.

DOGE Currently, the long-to-short ratio stands at 0.9612 over the past 24 hours, reflecting slight bearish sentiment. Moreover, the open interest-weighted funding rate has dropped to 0.0014% from a recent peak of 0.0097%, highlighting a sharp decline in bullish intent to hold long positions. Altogether, derivatives data indicate the potential for a steeper correction in dogecoin if market volatility persists.