Dogecoin Faces Key Resistance as Derivatives Drop Below $2B

Dogecoin (DOGE) is showing signs of cooling after a strong rally, with derivatives data revealing a dip in speculative activity. According to CoinGlass, open interest in Dogecoin futures and options fell 4.47% in the past 24 hours to $1.96 billion—well below the $3 billion average seen in November and December 2024. This suggests a decline in leveraged bets on DOGE despite recent price action.

Currently trading at $0.194, Dogecoin is down 1.52% in the last 24 hours, snapping a five-day winning streak. However, the meme coin is still up 13% over the past week. Glassnode noted the recent price surge appeared to be spot-driven rather than fueled by leverage, as futures volume remains near October levels and funding rates have neared neutral territory.

A key focus for traders is the $0.20 price level, where 7% of the DOGE supply is concentrated, making it a major resistance point. Wallets that accumulated near this level could begin selling, potentially halting further upside. If DOGE breaks past $0.20, the next significant supply cluster is around $0.31, offering a potential price gap for a swift move upward—especially if trading volume picks up.

On-chain data from Glassnode also shows strong holder conviction. Around 15% of DOGE supply hasn’t moved in 6–12 months, and the 3–6 month HODL wave is swelling—signaling that many bought during the January rally between $0.32 and $0.41. If prices revisit those levels, selling pressure may emerge as traders aim to break even.

Overall, DOGE remains a speculative asset with strong retail interest, but its next move will likely depend on whether it can convincingly break above the $0.20 resistance level.