For the past few weeks, there has been a negative trend in the price of Dogecoin (DOGE). Notably, a larger crypto market fall coincided with a significant decline in the price of DOGE. As investors digested the Federal Open Market Committee’s (FOMC) decision regarding interest rates, the market saw a carnage.
Changpeng Zhao, the founder of Binance, was sentenced on Tuesday after entering a guilty plea to charges of money laundering. The cryptocurrency market brutally crashed in response to this revelation, even though he was only sentenced to four months in prison.
End of meme coin rally
Meme coins saw a sharp increase in price earlier this year. This meme currency renaissance was being led by Dogecoin, the largest meme coin by market capitalization, which surged ahead during this period. But more lately, things took a drastic turn.
The meme coin’s value has drastically dropped since it was trading over the $0.22 mark at the beginning of April. Remarkably, it appears that the meme coin surge is finally finished. The price of other currencies, such as dogwifhat (WIF) and Shiba Inu (SHIB), has also plummeted recently, in addition to Dogecoin.
DOGE’s price has dropped significantly during the past day, by 7.87%, to $0.125. Its price has unexpectedly dropped by 39.29% during the past 30 days. These figures demonstrate the erratic behaviour of the larger cryptocurrency market, but they also reveal the less desirable aspects of the meme coin industry.
Dogecoin’s metrics turn bearish
According to CoinGlass statistics, there have been $13.56 million in liquidations for DOGE in the last day, despite the coin’s steep decline in value. $1.12 million was in short positions and $12.44 million was in long positions out of the total. This data demonstrates the unsettling circumstances faced by investors in the present bear market era.
The lack of interest from investors in Dogecoin is another concerning indication. A key indicator of the meme coin’s success, open interest, is showing negative trends. According to CoinGlass statistics, in the past 24 hours, open interest in Dogecoin has decreased by 12.61% to $693.70 million. These figures are only one more illustration of the meme coin’s declining popularity.
