The DOGE price feels the selling pressure in the market right now as it dropped around 8% in the last 24 hours, now trading just slightly above the $0.30 range.
Ali Martinez, who has been actually positively vocal about Dogecoin in the past few months, has pointed to some worrying signs on the DOGE chart.
What you'll learn 👉
DOGE Price Analysis
The recent price action of Dogecoin shows concerning patterns, starting with its significant rally from late October through mid-November, marked by sharp price increases and notable volatility.
Following its peak in late November, DOGE entered a clear decline and consolidation phase, establishing a series of lower highs and lows. While mid-January saw a brief upward movement, the momentum appeared substantially weaker compared to the initial rally.
#Dogecoin $DOGE just experienced a bearish crossover between the MVRV Ratio and its 30-day SMA, signaling a steep price correction ahead. pic.twitter.com/PVdilYgrhg
— Ali (@ali_charts) February 2, 2025
A particularly concerning signal emerged when the MVRV Ratio fell below its 30-Day SMA, creating a bearish crossover that historically correlates with price corrections.
During the earlier rally, the MVRV Ratio had consistently maintained positions above the 30-Day SMA, indicating overvaluation but reflecting overall market bullishness. However, late November marked the beginning of MVRV’s decline toward its 30-Day SMA, signaling weakening bullish momentum.
PEPE Comparison Suggests Further Downside for the Dogecoin Price
The analysis becomes more concerning when comparing DOGE’s current price action to PEPE’s recent movement patterns. PEPE’s chart shows a sharp decline from previous highs, with consistent lower highs and lower lows, culminating in a breakdown from the mid-range that triggered a rapid descent.
DOGE appears to be mirroring this bearish pattern, with lower highs and a potential breakdown forming below the critical $0.31 support level. If this support fails to hold, the downtrend could intensify, potentially targeting the $0.20 range based on historical price action. The $0.34-$0.36 range now acts as resistance, having rejected recent recovery attempts.
Is #Dogecoin following $PEPE? If so, a breakdown below $0.31 could trigger a correction toward $0.20 for $DOGE! pic.twitter.com/fuKfgUwPNI
— Ali (@ali_charts) February 1, 2025
The correlation between these patterns suggests that DOGE might follow PEPE’s price trajectory, particularly if it breaks below the crucial $0.31 support level. This technical setup, combined with the bearish MVRV crossover, points to increased selling pressure in the near term.
Read also: How High Can the XRP Price Go in February?
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