Dogecoin Price Continues to Plunge
Dogecoin's value has been dropping and it may continue to drop.
This is possibly due to technical reasons.
Dogecoin is still falling as it couldn't hold support at $0.08. The situation could get worse too, as it looks like the bears have broken through the triangular structure that was holding the price up the month before.
The recent breach in structure has allowed the bears to push more capital in, in order to earn more from the DOGE price crash. The bearish candle is now falling head-first, which gives many traders the confidence to go all-in with the bearish stance.
DOGE is currently trading at $0.075. Most likely it will go for a bull run at $0.072, but we won't see that until the bearish liquidity at $0.068 is gone.
Another sign that the bears are in control is that the DOGE price couldn't get past the Relative Strength Index 40 level.
Even though DOGE has crashed by 89.50% from it's all time high, it seems to have jumped up 12.78% from the cycle low of $0.07.
Even with the recent uptick, DOGE mining revenue is still down 76.2% from this time last year. This makes the popular meme coin one of the less profitable mining options, according to CryptoRank.
Dogecoin is one of the least profitable cryptos to mine, according to CryptoRank.
A 70% drop in mining profitability is really bad news for traders. Does this mean that the current trend is coming to an end?
DOGE price dropped by 3.48% in the past week, going as low as about $0.077, and has been stuck around there for a few days now, without moving up or down. This may indicate that DOGE is ready to resume its climb up from the previous dip.
The indicators are pointing towards a bearish trend. The RSI (Relative Strength Index) has been under the neutral point, and it looks like it might head even lower.
On the other hand, DOGE's volatility is only 88.28% in the past 30 days. All these factors indicate that there is no trend exhaustion at least in the next coming weeks.
Before taking any long bets, investors should look more at the volume. The free fall following April 26 indicates low buying and selling activity. Investor interest has decreased significantly over the past few weeks.
The crypto dominance index is currently showing that social media activity is dominating the market and people are still talking about this coin.