Dogecoin remains below important resistance with decreasing trading volume

level at $0.215. The immediate support sits at $0.151, a key Fibonacci level that has proven to be a strong support zone throughout the year. A decisive close above $0.215 would indicate a shift in momentum back to the bulls. Despite a 9.7% decline this week, the price remains above previous cycle lows, signaling a positive trend for long-term holders.

Analyst Cantonese Cat notes that Dogecoin needs to surpass the 0.382 linear Fibonacci level to sustain its bullish momentum. Without breaking this resistance, DOGE is likely to remain range-bound until a significant breakout occurs.

In terms of trading volume, concerns have emerged as DOGE’s activity has steadily dwindled since its peak in mid-2025. The decreasing volume spikes indicate weak participation and a lack of new investments. However, historical data suggests that Dogecoin often experiences rallies after extended low-volume phases, where sudden bursts of buying trigger broader market movement. This pattern has been observed during accumulation cycles in previous years.

Despite the decline in trading volume, the technical structure of DOGE remains intact. The coin continues to establish higher lows, and recent price movements, such as the bounce from $0.17, indicate active buying at critical support levels. This echoes previous recovery points in 2024, where DOGE rebounded sharply following increased volume. The absence of lower lows in the current market scenario maintains a cautiously optimistic medium-term outlook.

While altcoins are experiencing sluggish movement due to Bitcoin’s dominance and global market conditions, DOGE’s on-chain metrics reveal consistent user engagement. This suggests that Dogecoin is accumulating rather than experiencing a breakdown. With improved crypto liquidity on the horizon, DOGE could be poised to respond positively as one of the first high-beta coins in the market.

In conclusion, Dogecoin’s current price consolidation near $0.18, coupled with weakening trading volume, sets the stage for a potential price movement. Traders are closely monitoring key support and resistance levels to gauge the direction of the next significant move in DOGE’s price action. Amidst the broader market uncertainty, Dogecoin’s resilience and on-chain activity present a promising outlook for the coin’s future performance in the evolving cryptocurrency landscape.