Dogecoin Sees $1.2M in Liquidations as Price Risks Drop to $0.073
Dogecoin suffered a sharp liquidation event as the crypto market plunged, with traders losing more than $1.2 million within four hours. Long positions were hit hardest, producing a 2,563% liquidation imbalance. DOGE fell from a daily high of $0.1263 to $0.1216 in hours and is trading near $0.1260, with 24-hour volume up ~23% to $1.3 billion. The Relative Strength Index (RSI) sits at 23.7, signaling extreme oversold conditions that can precede rebounds but have so far not produced a recovery amid broader market weakness. Analyst Ali Martinez warns of further downside, citing $0.073 as the next key support. Short sellers also incurred losses (~$45,070), indicating liquidations affected both sides. Market drivers include geopolitical tension pushing capital into traditional safe havens like gold. Notable market reactions included Dogecoin co-founder Billy Markus’ dismissive comment on large market losses and a leveraged whale purchase of 15.6 million DOGE (~$2.1M) using 10x leverage. Key keywords: Dogecoin, DOGE price, liquidations, RSI oversold, crypto market selloff, support $0.073.
Bearish
The news is bearish for Dogecoin and short- to medium-term market sentiment. A $1.2M liquidation wave—predominantly hitting longs—with a 2,563% liquidation imbalance and an RSI at 23.7 signals strong selling pressure and oversold technicals that have yet to trigger a recovery. The analyst-cited next support at $0.073 represents material downside from current levels and would be consistent with momentum-driven liquidations and stop-loss cascades. Elevated trading volume suggests active positioning and higher volatility, while leveraged whale activity increases tail-risk for further forced liquidations. Geopolitical risk shifting capital to safe havens adds macro pressure. Historically, similar liquidation cascades (e.g., 2021–2022 crypto crashes) produced sharp short-term losses before eventual mean reversion; however, recoveries required stabilized macro conditions and a reduction in leverage. For traders: expect continued volatility, potential short-term continuation to the $0.07–0.08 area if selling persists, and quick, volatile bounces if buyers absorb the oversold conditions. Risk-management measures (reduced leverage, wider stops, position sizing) are warranted.