Dogecoin has flashed a fresh buy signal after a steep decline from its May recovery zone.
Summary
- DOGE trades near $0.085 after TD Sequential flashed a buy signal following a 31% correction.
- Whales reportedly bought 200m DOGE as analysts described the current zone as accumulation support.
- DOGE must reclaim $0.096-$0.100 to weaken its broader bearish daily trend structure before recovery attempts.
The signal comes from the Tom DeMark Sequential, the same indicator that warned of DOGE’s latest correction.
DOGE traded near $0.085135 on June 11, up 2.09% over 24 hours, according to crypto.news market data. However, the OG meme coin remains down 4.42% over seven days and 22.54% over the past month.
TD Sequential turns bullish after Dogecoin selloff
Analyst Ali Martinez said the TD Sequential flashed a sell signal for Dogecoin on May 7. That signal came before DOGE dropped 31% from $0.113 to $0.078.
The same indicator has now turned bullish. Martinez said the new signal suggests a “rebound could be around the corner” after the heavy correction.
The TD Sequential is used to identify market exhaustion. In this case, it suggests sellers may be losing strength after DOGE fell to its weakest area in more than a year.
Still, the signal does not confirm a full trend reversal by itself. DOGE must hold support and reclaim nearby resistance before the chart can show stronger buyer control.
DOGE price holds near $0.08 support
DOGE is trading near the $0.080-$0.083 support zone. Price recently bounced from this area after reaching a 24-hour low of $0.081923.
The 24-hour high stood at $0.085313, while trading volume reached $654.47 million. Dogecoin remains the 10th-largest crypto asset, with a market cap near $13.16 billion.
The daily chart still shows a broader downtrend from the September-October highs near $0.25-$0.30. DOGE has continued to print lower highs and lower lows since that period.
Price also remains below the Supertrend resistance near $0.09604. A clean move above $0.096-$0.100 would be the first sign that the current sell-side structure is weakening.
In addition, the RSI sits near 32.61, while its average line stands around 31.46. That places DOGE close to oversold territory after the recent decline.
The small RSI rebound shows selling pressure has cooled. However, the indicator remains below 40, meaning momentum has not turned bullish yet.
Volume sits near 198.61 million DOGE on the daily chart. That shows market activity, but it does not show a confirmed breakout.
For a stronger signal, DOGE needs rising volume alongside a move above $0.096. Without that reclaim, the current bounce may remain a short-term reaction from oversold levels.
The first resistance sits near $0.096. A move above that level could open the way toward the $0.100-$0.110 zone.
If DOGE fails to hold $0.080-$0.083, sellers could regain control. That would shift attention back to lower support zones and weaken the buy signal setup.
Whales accumulate as derivatives activity rises
Dogecoin whales have reportedly bought more than 200 million DOGE in one week, as reported just 2 days ago. Analyst MikybullCrypto also described the current price range as a “good level for accumulation.”
Whale buying can support market confidence when price trades near long-term lows. However, whale accumulation works best when spot demand and technical momentum also improve.
Coinglass data showed DOGE derivatives volume rose 8.76% to $1.47 billion. Open interest also increased 2.52% to $1.03 billion.
Options volume fell 86.36% to $143.33, while options open interest rose 8.17% to $1.37 million. That shows futures remain the main area of trader activity.
Higher open interest near support can create two outcomes. It can support a rebound if long positions gain momentum, or it can lead to liquidations if price breaks lower.
Spot netflow remains quiet. The latest reading stood near $53,940, which is small compared with the large multi-million-dollar flow spikes seen during the earlier selloff.
That means current spot flows do not show heavy accumulation or strong selling pressure. The market is active, but the clearest pressure is still coming from derivatives.
Dogecoin recovery needs resistance reclaim
Javon Marks said Dogecoin is “holding an explosive structure” as some altcoin patterns shift toward bullish moves. That view fits the short-term rebound setup, but price confirmation is still missing.
As previously reported by crypto.news, DOGE recently faced a deeper risk zone near $0.067 after losing earlier support. That warning remains relevant if DOGE fails to defend the $0.080 area.
The main bullish level is $0.096. A daily close above that area would place $0.100-$0.110 back in focus.
A stronger move above $0.110 would suggest buyers are rebuilding control. Until then, DOGE remains in a weak trend with early signs of relief.
For now, Dogecoin’s setup is balanced between a technical rebound signal and a still-bearish daily chart. The buy signal gives bulls a chance, but price must confirm it through support strength and resistance recovery.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
