Dogecoin Price Down 21%: Why Did DOGE Crash To 28 Cents?

Dogecoin's DOGE/USD sharp 21% decline has raised alarms among traders and investors, as it struggles to maintain key support levels critical to preventing a further downturn.

Trader Notes: Crypto trader Kevin recalled his controversial Nov. 13 prediction that Dogecoin would drop to $0.26–$0.28, which has now come true.

Despite criticism, Kevin maintains his view that DOGE will eventually rebound from these levels to target new all-time highs, though not without enduring a significant correction first.

Kevin explained that on the weekly timeframe, Dogecoin appears to be undergoing a typical bull market pullback, following an earlier golden cross (a bullish technical indicator) that lacked an initial correction.

He noted Dogecoin's history of enduring multiple 50% corrections during prior cycles.

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A 45% pullback to macro support within the golden pocket could align with past trends and indicate a continuation of the uptrend.

However, Kevin emphasized that if DOGE closes below $0.26 on the weekly chart, it could signal serious structural issues in the market. Until then, the current decline is being viewed as a normal bull-market retracement

Statistics: Coinglass data shows total liquidations in the past 24 hours stand at $85.7 million with a majority of $71.6 million being long liquidations.

DOGE derivatives trading saw a 75% spike in volume, while open interest dropped 33.3%, indicating waning investor interest in the meme coin.

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