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Things are not looking good for Dogecoin at the moment, and the technical picture is getting worse by the week. After sliding nearly 18% over the past month, the DOGE price is now trading below key long-term averages and flashing a pattern known to many traders as a "death cross" — typically seen as a red flag for more downside pain ahead.
As of June 16, the meme coin has dropped from just over $0.20 to below $0.17. It is currently hanging around just above a key support level at $0.137, which was last seen in early April. If the price drops below that, it could mean another fall, possibly down 20% from the current levels and testing the $0.13 area.
The weekly chart is what makes traders cautious as the 23-day moving average has now gone below the 50-week moving average, which is known as a death cross.
Of course, it is not a huge rarity, but it still has some weight to it, especially for assets like Dogecoin that are driven by sentiment. In previous cycles, similar moves have been a sign of medium-term weakness and bigger corrections.
For now, keep an eye on the $0.137 level, where the 200-day moving average is stretching on the weekly time frame.
If DOGE bounces back from here, it might give a short-term relief rally a go, but if the zone breaks down, it could lead to faster losses, possibly taking us back to price levels not seen since early 2023.
With the mood around meme coins cooling down and the wider crypto market still finding its feet, it looks like Dogecoin could be heading into a bit of a tough patch. It is not so much a joke anymore but more like a real test of its resilience.
U.Today Editorial Team
Dan Burgin
