Dogecoin Slides Below $0.20 as Sell Volume Spikes, Eyes Turn to $0.185 Support
Dogecoin (DOGE) extended its decline on Monday, slipping below key support levels as selling pressure intensified alongside a broader market risk-off environment.
Price Action Overview
DOGE dropped 5% over the 24-hour period from August 4 at 21:00 to August 5 at 20:00, falling from $0.21 to $0.1985. The token traded within a narrow $0.013 range, with intraday highs at $0.211 and lows near $0.198. A decisive breakdown occurred at 14:00 when price plunged from $0.205 to $0.199, fueled by a 877.9 million volume spike—over three times the daily average of 268.85 million.
A second sharp drop occurred at 19:51, when DOGE briefly hit $0.1975 on a sudden 19.04 million volume burst, before rebounding slightly into the close.
Technical Signals
- Resistance has formed at $0.205 following rejection during recovery attempts.
- Immediate support sits between $0.198 and $0.199, with $0.185 as the next potential downside target if weakness persists.
- Volume continues to spike on down moves, indicating sustained liquidation pressure, while bounces remain low-conviction and short-lived.
Market Backdrop
The move comes as crypto markets continue to face macro headwinds, including $223 million in net outflows from crypto-linked ETFs last week, per CoinShares data. Risk sentiment has been dampened by continued hawkish messaging from the Federal Reserve and escalating geopolitical uncertainty, including new tariff threats and commodity trade disruptions.
DOGE, like other meme tokens, remains under pressure as retail participation fades and larger holders rotate into cash or alternative altcoins with higher beta.
What Traders Are Watching
- Whether DOGE can hold above $0.198 or risk sliding further to $0.185.
- Any breakout above $0.205 that could shift short-term momentum.
- ETF flow trends and macro conditions that could restore market confidence.
- Signs of renewed activity or accumulation within the meme coin sector.
Outlook
DOGE remains vulnerable to further downside unless buyers step in above $0.198 with sustained volume. With price unable to reclaim resistance and volumes accelerating on declines, the bearish structure remains intact heading into the new week.
