Dogecoin is trying to hold its ground and test key resistance after weeks of selling pressure. Currently, it trades around $0.07199, slipping nearly 2% in the last day. The price remains under pressure, stuck below the key $0.081 level, but rising open interest and optimistic analysts hint at a possible breakout.
What’s Behind Dogecoin’s Movement?
The coin’s struggle to surpass the $0.0968 resistance has kept the downtrend intact. The 14-day RSI stands at 43.74, showing sellers still slightly ahead. Volume remains subdued compared to prior rallies, indicating that buyers are holding back, waiting for a stronger signal.
Crypto analyst Ali Charts highlighted $0.081 as a key resistance. He pointed out that breaking above this could open the path towards $0.177, the next major supply zone. The URPD chart reflects high historical accumulation near $0.081, reinforcing its importance.
Supporting this view are CoinGlass stats showing a rise in open interest to roughly $1.15 billion, despite Dogecoin trading near recent lows. Last week’s volume climbed, while liquidations dropped substantially since June’s heavy sell-offs. This suggests traders are entering new trades cautiously, lowering use risks.
Increasing open interest coupled with improved participation may signal renewed confidence, even if the spot price hasn't turned the trend yet. If new positions keep building without excessive use, Dogecoin stands a better chance at a sustained recovery rather than a short rebound.
Traders should watch the $0.081 resistance closely. Clearing that hurdle could boost bullish momentum and invite more buying. However, falling below support at $0.07 would mean sellers still dominate.
