Dogecoin price stalls below $0.25 amid profit-taking and Bitcoin volatility, but DOGE RSI crossover on May 7 suggests bulls could still target $0.30 despite a 5.8% short-term correction on Sunday May 11.
Dogecoin (DOGE) Stalls Below $0.25 as Investors Await Bitcoin’s Directional Signal
Dogecoin price entered a 5.7% pullback on Sunday, May 11, after a three-day streak of double-digit gains.
The correction reflects broader market consolidation as investors take profits and weigh macroeconomic cues. DOGE price had led the week’s rally, but sentiment cooled below $0.25 amid dampening risk appetite.
Dogecoin price action | DOGEUSD
Trump’s confirmation of successful trade talks with China helped push Bitcoin above $104,000, but gee-political unrest, especially from India-Pakistan military tensions escalating in the last 48 hours, have dampened the memecoin momentum. This triggered profit-taking across assets seen as volatile and responsive to market panic signals.
Market data from Coingecko further validates the pause in momentum. As of press time on Monday, DOGE is trading at $0.2341, down 5.8%, matching Bitcoin’s -5.8% correction in BTC/DOGE terms (now 0.052240 BTC).
The 24-hour DOGE trading volume also declined from $4.5 billion to $3.5 billion, reflecting active capital rotation out of speculative assets. Investors appear to be adopting a cautious stance, awaiting signals from institutional Bitcoin flows before reallocating capital toward riskier altcoins.
Derivatives: $20M Liquidated as Dogecoin Open Interest Drops by 7.3%
The recent correction in DOGE is supported by a decisive shift in derivatives sentiment. Total DOGE open interest dropped 7.29% to $2.80 billion, while daily trading volume contracted by 19.55% to $7.74 billion.
Options volume cratered 21.72% even as options open interest jumped 49.49%, suggesting a build-up of directional bets despite lower intraday activity.
Dogecoin Derivatives Market Analysis | Source: Coinglass
Liquidation data shows $20.15 million in total DOGE long positions were wiped out over the past 24 hours, 75% of which were longs. This hints at over-leveraged bullish bets being flushed out as the price dipped below $0.25.
Long/short ratios provide a mixed view. Although account-based long/short ratios on Binance and OKX sit at 2.83 and 2.82, the top trader long/short position ratio exceeds 5.00, suggesting concentrated conviction from high-volume accounts.
What’s Next for Dogecoin Price in the Week Ahead?
Dogecoin’s bullish structure remains intact as long as $0.225 holds as support. The recent 5-day RSI crossover confirms bullish medium-term momentum, with $0.30 remaining a valid target if Bitcoin stabilizes above $104K.
Strategic traders would now watch out for Bitcoin ETF flows and U.S. macro data releases this week. If institutional appetite holds, meme coins like DOGE could resume upward movement.
However, risk remains tilted to the downside if Bitcoin fails to hold above $100K. A drop below $0.225 may trigger another round of liquidations, invalidating the bullish thesis temporarily.
Dogecoin Price Forecast: RSI Crossover holds 5-day Momentum, Confirming $0.30 target
Dogecoin price appears to be stabilizing above $0.23, with renewed momentum emerging after a temporary rejection near $0.25.
The 5-day RSI crossover remains intact at 70.85, signaling sustained bullish momentum despite the recent dip.
A clear higher low (HL) structure was printed earlier in the rally, followed by a new local higher high (LH), reinforcing a developing bullish sequence.
This positive Dogecoin price forecast pattern, paired with continued support above the lower bound of the SuperTrend at $0.191, suggests that the broader upward structure remains valid and is likely to resume if current consolidation resolves to the upside.
The Relative Strength Index (RSI) crossover occurred on May 7, when the purple RSI line (shorter-term momentum) decisively crossed above the yellow signal line (longer-term average).
Dogecoin price forecast | DOGEUSD
This bullish crossover typically signals a shift in market momentum from neutral or bearish to a renewed uptrend. Since that inflection point, the purple RSI has remained above the yellow line, confirming sustained bullish strength over the past five days.
If momentum persists through this week, particularly alongside a recovery in Bitcoin price forecast today above $104K, DOGE could reclaim bullish velocity and aim for that upper level.
A key confirmation would be a daily candle close above $0.25, the recent rejection level, supported by renewed positive volume delta, which printed $27.96M today after a sharp negative spike on May 11. This suggests smart money may be buying the dip into structural support.
Bearish invalidation would occur on a breakdown below the HL at $0.19. Such a move would violate the current higher high/higher low sequence and return DOGE to its previous consolidation range.
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