The price of Dogecoin remains under pressure, falling by 55% from last November's high. Technical and derivatives data suggest a continuation of the negative trend.
Dogecoin Derivative Demand Decreases
In recent weeks, demand for Dogecoin has significantly dropped. This may be due to investors focusing on Ethereum, Bitcoin, and other popular cryptocurrencies. CoinGlass data shows that DOGE's futures open interest has fallen by almost 40% from its peak of $5.3 billion on July 22.
Technical Analysis of Dogecoin Prices
The three-day chart indicates that the DOGE price could risk dropping to the year-to-date low of $0.1360. The price is slowly forming a symmetrical triangle which is part of a bearish pennant pattern, following a drop from the November high.
Future Prospects for Dogecoin
Currently, the most likely forecast for DOGE points to a decrease to the level of $0.1362, approximately 40% below the current price. However, a breakout above the triangle's upper boundary would invalidate the bearish prediction.
The dynamics of Dogecoin's price and declining investor interest indicate potential short-term risks. The next few days may be critical in determining the direction of movement.
