Is Dogecoin going to take off? Buyers return strongly after a 4.24% drop in a week, and the market may usher in a shocking reversal!

On May 6, 2025, according to the Crypto King’s official account, Dogecoin (DOGE) fell 4.24% in the past week and is now reported at $0.1726. It hit a high of $0.43 three months ago, but continued to fall into a downward channel. But buyers seem to be returning, buying 748.7 million DOGE in 24 hours and selling only 730 million, forming a positive order imbalance of 14 million, and the market buying pressure surged (data source: CryptoQuant).

Coinalyze data shows that option trading volume soared 34% and trading volume increased 23.29%. Long positions are as high as 69.7%, short positions account for only 30.3%, and futures and spot CVD indicators are both buyer-dominated, with funds continuing to flow in. At the same time, the net outflow of spot has continued to be negative in the past three days (source: Coinglass), indicating that investors are in a strong mood to increase their holdings.

Santiment pointed out that DOGE's stock-to-flow ratio has climbed to 79, a weekly high, indicating that holders have moved tokens to cold wallets, and the surge in scarcity may trigger a price rebound.

If the accumulation momentum continues, DOGE is expected to hit $0.187, and if buying is weak, it may retreat to $0.165. The continued strength of buyers will determine its future trend.