In Brief: Dogecoin trading volume plunged 49% to $607 million as declining market participation accompanied four consecutive days of DOGE price losses. Crypto analyst Ali identified a TD Sequ
Dogecoin trading volume plunged 49% to $607 million as declining market participation accompanied four consecutive days of DOGE price losses.
Crypto analyst Ali identified a TD Sequential buy signal, with Dogecoin facing key resistance levels at $0.087 and $0.094.
Dogecoin whales accumulated approximately 600 million DOGE since October 12, while weakening momentum exposed potential downside support near $0.070.
Dogecoin trading activity weakened considerably over the weekend, with daily trading volume falling 49% to $607 million amid broader cryptocurrency losses. The decline coincided with another difficult trading session for DOGE, which struggled to recover from several consecutive days of selling.
According to CoinMarketCap data, the drop in trading volume reflected reduced market participation as investors assessed ongoing price weakness. Weekend trading typically attracts fewer participants, while uncertainty surrounding monetary policy has added pressure across the cryptocurrency market.
DOGE traded near $0.079 following four consecutive days of losses, extending its decline from the October 4 high of $0.097. The retreat pushed Dogecoin below its 50-day and 200-day moving averages, indicating persistent weakness across its daily price structure.
Meanwhile, stronger-than-expected inflation figures weighed on market sentiment as investors evaluated the Federal Reserve’s next interest rate decision. Federal Reserve Chairman Kevin Warsh offered no clear indication Thursday about whether policymakers would raise interest rates during October.
Reduced trading activity accompanied these developments, leaving Dogecoin near an important price region where buyers previously demonstrated considerable interest.
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Despite declining trading volume, technical indicators and large-holder activity revealed several developments around Dogecoin’s current support levels.
According to crypto analyst Ali, Dogecoin’s daily TD Sequential indicator recently generated a buy signal near the $0.080 region. The indicator identifies potential trend exhaustion, although the signal alone does not establish that a price recovery has begun.
A recovery above $0.081 could bring the $0.087 resistance level into view, followed by the descending trendline near $0.094. These levels remain relevant because Dogecoin has struggled to regain momentum following its early October decline.
Significantly, on-chain distribution data identified approximately 36 billion DOGE previously traded around $0.081, making this an important price level.
Large investors have also increased their holdings despite the broader downturn, with whales reportedly accumulating approximately 600 million DOGE since October 12. This accumulation suggests some major holders purchased tokens during the decline, even as overall trading participation weakened.
Meanwhile, Dogecoin’s daily Relative Strength Index reached 34, placing the cryptocurrency near the traditionally oversold threshold of 30. A further decline could expose the $0.070 support region, particularly if buyers fail to defend current price levels.
Trading volume remains an important measure of participation, as reduced activity can accompany weaker buying demand and slower market movements.
Dogecoin’s 49% trading volume decline highlights subdued market participation as DOGE trades near $0.079 following four consecutive losing sessions. Whale accumulation and a technical buy signal contrast with persistent selling pressure, leaving $0.081 as a key recovery level.
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The post Dogecoin Trading Volume Plunges 49% as DOGE Price Tests Critical Support appeared first on 36Crypto.
