• Home
  • Dogecoin Liquidations Surge: Volatility or Buying Opportunity?

Dogecoin Liquidations Surge: Volatility or Buying Opportunity?

The Key Points at a Glance

Liquidations of Dogecoin (DOGE) have surged as the price reached the 0.10 US dollar mark. Particularly long-term positions were affected by liquidations in the millions, while short position liquidations remained below 60,000 US dollars. This phenomenon raises questions about the short-term development of Dogecoin. But what does this mean for investors and the market?

Understanding Dogecoin Liquidations

Liquidations occur when a trading platform is forced to close a trader’s position involuntarily, often due to market volatility, insufficient margin balance, or excessive leverage when the market moves in the opposite direction. With Dogecoin, a price action of the memecoin led to an increase in liquidations, especially for long-term positions that had bet on a price increase.

What Does the Surge in Liquidations Mean?

The surge in Dogecoin liquidations could have various impacts. On the one hand, this could indicate increased market volatility, but on the other hand, it could also represent a buying opportunity, especially if network activity is growing faster than the price itself. This could suggest that participation in the Dogecoin network is increasing, even though the price is currently falling.

A Buying Opportunity?

Despite the decline, the price-DAA (Daily Active Addresses) divergence could suggest that it’s time to start accumulating DOGE. A negative divergence of -58.32% means that network activity is growing faster compared to the price, which could represent a potential buying opportunity. If this trend continues, the price of DOGE could consolidate and potentially rise in the coming weeks.

alert-circle
You can also find us on Telegram:
Click here to follow our Telegram channel.

Our Assessment

The recent liquidations in Dogecoin underscore the volatility and risks associated with trading cryptocurrencies. At the same time, they also offer insights into possible market opportunities. Investors should closely monitor developments and consider network activity as a potential indicator for future price movements. As always, investments should be carefully weighed and part of a diversified strategy.

Sources: Coinglass, Hyblock, Santiment

Casinos: 43
Profile Dogecoin
Symbol DOGE
Coin type Alt Coin
Transaction Speed Medium
Pros
  • One of the fastest coins for payments
  • Easy entry into the crypto world
Cons
  • As an original Bitcoin parody, offers no technical innovations
Price $0.40
24h % -4.06 %
7d % 4.29 %
30d % 175.01 %
60d % 269.80 %
1y % 379.35 %
Market Cap $59,335,794,886.00
Official Links
Socials Reddit | X
Best 3 Dogecoin casinos

Latest News

Created by

I have enjoyed following the international iGaming industry since my first encounter at the age of 23. Fascinated by its diversity and complexity, I was hooked and have never left the industry since. Here at KC, I am a proud member of the founding team as well as the content team. We use everyone's knowledge to find every possible flaw in a casino so you can relax and play.
Reviewed by
Nerd of Numbers

Last update: 25. September 2024

kryptocasinos.com Logo Advertising transparency

We are independent, transparent and funded by revenue we generate when you sign up at a casino through us.

Our goal is to help you make better decisions when choosing a casino by offering different information, providing filters and comparison tables, and publishing objective content. Thus, we give you the opportunity to research for free, compare casinos and make your decision based on that.

We cannot guarantee that a casino that is very good for us will fit your type of player and your circumstances.

Why trust us?

We work according to transparent editorial guidelines and disclose our testing methods as well as funding. This article may contain links to our partners, but this does not influence our objective view in any way.

🍪
We use cookies. By using this site, you accept them.