DOGE Token Drops 3.88% Despite Elon Musk Support, Holds Key $0.16 Support Amid Lower Volume

Dogecoin (DOGEUSDT) experienced a price decline of approximately 3.88% over the last 24 hours, with the current price at $0.16756 and a 24-hour open of $0.17433, according to Binance data. This downward movement is attributed to a combination of short-term bearish sentiment highlighted by multiple market analyses, which point to sustained selling pressure and DOGE trading below key resistance levels. The recent announcement by Elon Musk expressing support for Dogecoin and the formation of the 'America Party' generated increased social media attention, but did not immediately reverse the prevailing negative trend. Additionally, a 15.50% drop in 24-hour trading volume to around $1.24 billion suggests reduced market activity and momentum.

Despite the recent decline, Dogecoin maintains a market capitalization of approximately $25.16 billion, ranking it as the 9th largest cryptocurrency. The price remains above the multi-week support zone near $0.16, with some analysts noting potential for a short-term reversal if DOGE can sustain levels above $0.164. Over the past week, Dogecoin has gained about 1.63%, though it is down more than 6% in the past month, while still showing a 46% increase over the last year.