Why is Dogecoin Price Crashing Today?

Dogecoin price is once again on a downward trajectory, losing over 3% of its value in the last 24 hours. Notably, the decline is part of the longer correction, in which DOGE crashed to a similar level just days ago before recovering on July 28. This has left investors wondering why the foremost meme coin is down again.

Why The Dogecoin Price Is Down 3% Today

DOGE is currently struggling to hold the $0.25 support. Notably, it attempted to flip this level into support three times this month and ended up with a major correction. The same is happening at the press time, as the Dogecoin price stumbled near the $0.2274 despite an earlier recovery.

Besides this, the decline is a part of the broader crypto market crash, as the macroeconomic conditions and liquidation contradict the rallies. In this, the FOMC meeting on July 30 is playing a significant role, as the odds of interest rate cuts remain extremely low.

Additionally, there’s building volatility on the White House crypto policy report. As a result, $16.53 million has been liquidated in the last 24 hours, and futures open interest has declined nearly 10%. Notably, the crypto market’s sentiment index still puts investors in the greed zone, revealing that this is a momentary phase.

Whales Buy Big With Dogecoin Price Crash

While the liquidation and the broader market correction pulled down the DOGE price, whales went big on buying. Ali Martinez, a crypto analyst, revealed that whales have accumulated over 130 million Dogecoin tokens in the last 24 hours. Trader Edge claimed the number to hit 1.08 billion in the last 48 hours.

The meme coin’s trading volume is up, currently at $2.59 billion, signaling investors’ massive interest in the token despite the dip. Crypto experts claim that there’s a short-term breakout possibility, with the target of $0.24-$0.25 as the key support. However, failure to hold may push it down again, per Dogecoin price predictions.