Dogecoin Price Forecast: Rebound Phase Begins as Bulls Mount $72M DOGE leverage

Dogecoin Price faces key resistance at $0.35 as bulls deploy $72M in leverage, but weak volume could prolong consolidation below $0.32.
Published by
Dogecoin Price Forecast: Rebound Phase Begins as Bulls Mount $72M DOGE leverage

Highlights

  • Dogecoin (DOGE) price rebounded by a mild 1.8% on Wednesday, as bearish pressure surrounding the crypto markets subsided.
  • Aggregate LONG leverage DOGE futures positions hit $72 million at press time, surpassing the active short contracts.
  • Technical indicators show that Dogecoin continues to trend near oversold territories.

Dogecoin price entered a mild 1.8% rebound to hit $0.32 on Wednesday, January 29. Derivatives markets trends suggest bull traders placing more aggressive bets, to avert a breakdown below $0.30 gain more ground in the week ahead.

Advertisement

Dogecoin Stabilizes at $0.32 Post D.O.G.E. Confirmation and Deepseek Impact

Dogecoin (DOGE) has stabilized at $0.32 following the confirmation of the D.O.G.E. initiative and the impact of Deepseek, which triggered profit-taking.

Elon Musk’s active involvement in Republican campaigns has helped Dogecoin ride the wave of Trump’s successful run, making it one of the best-performing assets in the top 10 over the past three months. However, as Inauguration Day marked the end of the election cycle, Dogecoin struggled to breach the $0.40 mark despite multiple attempts.

Dogecoin Price Action | DOGEUSDT

DOGE price‘s struggle traction coincided with several bullish factors, including Bitwise’s application for a spot Dogecoin ETF. Yet, the price chart reveals a reversal in Dogecoin’s recovery as selling intensified when Trump officially signed the D.O.G.E. department into law on January 21.

By Tuesday’s close, Dogecoin had plummeted to as low as $0.31, reflecting a 27% loss over the last 10 days.
On Wednesday, however, Dogecoin experienced a rare uptick, rising 1.8% to reach $0.32 as bullish traders moved in to prevent a breakdown below the psychological support level of $0.30.

Advertisement

Bulls deploy $72M Leverage after avoiding $0.30 breakdown

Since rejecting its year-to-date peak of $0.44 on January 18, Dogecoin has posted eight losing sessions in the last ten trading days. The rebound above $0.32 on Wednesday provided temporary relief following heightened volatility.

However, despite the broader market downturn fueled by the DeepSeek vs. OpenAI rivalry, DOGE derivatives data indicates bullish traders remain positioned for further gains after successfully defending the critical $0.30 support level.

Dogecoin Liquidation Map, January 2025 | Source: Coinglass

Coinglass’ liquidation map chart above highlights a surge in leverage deployment, with DOGE long positions exceeding $72.3 million on Wednesday, outpacing short contracts at $64 million.

This 11% imbalance in favor of long traders underscores a shift in sentiment, as bulls aggressively deploy capital to sustain upward momentum.

Historically, when long positions outnumber shorts following an extended bearish phase, it signals a potential bottom formation. If this pattern holds, DOGE could consolidate within the $0.32 to $0.36 range in the days ahead, setting the stage for a potential recovery.

Advertisement

Dogecoin Price Forecast: Weak Volumes Signal Extended Consolidation Below $0.35

Dogecoin price forecast remains under bearish influence after 26.7% decline in 11 days from its $0.44 peak. Currently hovering around $0.32, Bollinger Bands indicate that DOGE is trading near the lower band at $0.306, suggesting an oversold condition.

However, without a considerable increase in market volumes which fell to 547.52 million DOGE on Wednesday, a sustained recovery remains uncertain.

In terms of near-term DOGE price targets, the 20-day moving average at $0.35 acts as the next resistance, with a break above potentially shifting sentiment.

Dogecoin price forecast | DOGEUSDT (Binance)

More so, the MACD histogram shows extended negative bars, confirming downward momentum. The signal and MACD lines continue diverging, reinforcing a bearish outlook unless crossover signals emerge. If bulls fail to reclaim $0.35, continued weakness could trigger a retest of the psychological $0.30 support.

Conversely, a bullish scenario hinges on a decisive move above $0.354 with increased volume, potentially targeting $0.40. Without a catalyst, Dogecoin risks extended consolidation within the $0.30–$0.35 range in the near term.

Advertisement

Frequently Asked Questions

Will Dogecoin recover above $0.35 soon?

Dogecoin must break the $0.35 resistance with strong volume. Current indicators show consolidation within the $0.30–$0.35 range.

Why is Dogecoin struggling despite bullish leverage?

Despite $72M in long positions, weak trading volume and bearish momentum limit upside potential, requiring more buying pressure.

Is Dogecoin forming a bottom at $0.32?

Historical trends suggest that rising long leverage after a bearish phase can signal a bottom, but confirmation is needed.
Share
ibrahim

Crypto analyst covering derivatives markets, macro trends, technical analysis, and DeFi. His works feature in-depth market insights, price forecasts, and institutional-grade research on digital assets.

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • Price Analysis

Fidelity Amends S-1 for Solana ETF: Is SOL Price Set to Rally?

Solana price remains resilient above the $190 mark, showing signs of bullish momentum despite recent…

October 30, 2025
  • Price Analysis

Pi Coin Price Targets $0.65 as ISO 20022 Membership Boosts Institutional Confidence

Pi coin price has rebounded strongly, breaking its multi-month descending structure and targeting the $0.65…

October 30, 2025
  • Price Analysis

Ethereum Price Flips BTC in Strategy Shift, Eyes $4500 Level

Ethereum has overtaken Bitcoin in institutional treasuries, signaling a notable change in digital asset accumulation…

October 29, 2025
  • Price Analysis

Expert Predicts XRP Price to Hit $10 as Elliot Wave, XRPR ETF Inflows Align

XRP price has moved sideways in the past few days as the recent bull run…

October 29, 2025
  • Price Analysis

HYPE Price Prediction as 21Shares Files S-1 for Hyperliquid ETF—Can Bulls Push HYPE to $60?

Hype price has drawn significant attention following a strong rebound from October lows and renewed…

October 29, 2025
  • Price Analysis

Bitcoin Price Rally Bound? How the Fed’s Move May Unleash Crypto

Bitcoin price has remained steady above $113,000 as the crypto market shows signs of a…

October 29, 2025