Dogecoin Faces $16 Million in Long Liquidations as Bearish Sentiments Persist
Dogecoin, the popular memecoin, has been facing a rough time in the market as long liquidations totalled $16 million on 12 April. This comes as the entire cryptocurrency market saw a significant downturn, with over $860 million in trade positions being liquidated among traders.
The last time Dogecoin saw such high long liquidations in its Futures market was on 6 March, indicating a bearish sentiment surrounding the coin. In comparison, short liquidations totalled $3.08 million on the same day.
With Dogecoin’s price plummeting by 13% in the last 24 hours and experiencing a 6% weekly loss, market analysts are warning investors to brace for further value decline. Key momentum indicators suggest a decline in demand for Dogecoin, with the Relative Strength Index (RSI) and Money Flow Index (MFI) showing a decrease in market participants’ interest in the coin.
Additionally, readings from the coin’s Directional Movement Index (DMI) indicate a shift from bullish momentum to bearish, with the positive directional index falling below the negative index. The MACD line also confirms this bearish trend, with the short-term moving average higher than the long-term moving average.
Overall, it seems like a challenging time to be a Dogecoin holder as the coin faces increased sell-offs and profit-taking activity. Investors are advised to closely monitor the market and be prepared for further price declines.
