Over $380M in DOGE short liquidations near $0.50 may trigger a breakout if sustained accumulation pressure unwinds.
DOGE’s Inverse Head and Shoulders pattern and BTC-pair support signal a potential 100% upside move toward $0.34.
DOGE leads the memecoin sector in open interest, despite weak liquidity, with bullish bias shown in volume-to-cap and long-short ratios.
Dogecoin (DOGE) may be nearing a significant price pivot, as liquidation-level data over a 500-day window shows intense pressure building around key zones. Analysts are now closely watching DOGE’s trapped liquidity at the $0.50 mark, with over $380 million locked in short liquidations. Historically, such setups have preceded sharp upside moves following sustained accumulation phases.
Heatmap Reveals Strategic Zones Driving DOGE Volatility
João Wedson’s 500-day heatmap shows Dogecoin traded mostly below $0.10 between March and August 2024, forming a rounded bottom near $0.06. Liquidation activity was minimal, hinting at stealth accumulation by long-term holders.
https://twitter.com/joao_wedson/status/1931061221697991023
From September to November 2024, DOGE surged past $0.15. Liquidation layers spiked to $200M–$500M per level, triggering a breakout to $0.35 and a brief rally to $0.45. The price was rejected at $0.50, now a strong liquidity magnet.
Between January and March 2025, DOGE retraced below $0.20 as heatmap activity cooled. By April, it stabilized between $0.12 and $0.18. Liquidation support lies at $0.08–$0.11, while heavy short interest above $0.48 could attract bullish re-entry.
The DOGE/BTC pair is nearing key support at 0.00000072 BTC, a level that has sparked previous rallies. Its long-term descending triangle shows repeated support tests since 2014, hinting at another potential breakout.
Analysts note the pattern mirrors DOGE’s 2021 setup, which led to a parabolic rise. With BTC dominance at 67.41%, its highest since early 2021, altcoins face headwinds, yet similar support bounces have fueled short-lived altcoin runs.
While trader sentiment remains divided, the technical compression on DOGE/BTC suggests a possible shift. As Bitcoin consolidates, DOGE could again become a catalyst in the broader altcoin cycle.
Meme Index and Market Liquidity Highlight DOGE Dislocation
The 16-token Meme Index shows early signs of recovery but continues to lag behind Bitcoin, dropping from 3.1 in March 2024 to under 1.5 in 2025. DOGE remains the dominant memecoin, trading at $0.18 with $1.648B in open interest, well above 2023 levels. However, overall sector liquidity is weak, with memecoin volume at $12B and derivatives open interest at $ 3.26 B.
Despite cautious capital flows, DOGE’s 323% volume-to-market cap ratio and a 1.77 long-short ratio suggest building bullish sentiment. Traders are watching closely, as low on-chain commitment may quickly flip once trend confirmation strengthens.
DOGE has formed an Inverse Head and Shoulders pattern, confirming technical strength. A breakout and retest at $0.17 signals potential continuation. If support holds, the target is $0.34, implying a 100% move. Backed by BTC pair strength, liquidation data, and growing community buzz, DOGE is gaining attention as a key 2025 watch.
The post DOGE’s $0.50 Liquidity Magnet: Why $380M in Shorts Signal a Bullish Breakout appears on Coin Futura. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.
