Dogecoin (DOGE) Price Remains Steady Despite Elon Musk’s Court Win

2 mins
Updated by Daria Krasnova
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In Brief

  • Dogecoin (DOGE) remains stable after a court dismissed a price manipulation lawsuit against Elon Musk.
  • Technical indicators show bearish momentum, with DOGE likely to extend its decline amid weak buying pressure.
  • If the selling continues, DOGE may drop to $0.08, but a market shift could push the price to $0.11.
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Dogecoin (DOGE) has remained largely unaffected after US District Judge Alvin Hellerstein dismissed a lawsuit against Elon Musk and Tesla, which alleged that they manipulated the coin’s price.

As of press time, DOGE is trading at $0.10, showing a 0.18% price decline and a 24% drop in trading volume over the past 24 hours.

Dogecoin Seeks to Extend Decline

DOGE’s muted reaction to Judge Hellerstein’s ruling can be attributed to the bearish pressure currently weighing on the altcoin. Its technical setup on a 12-hour chart indicates that bears are dominating the market, pushing to extend its month-long decline.

For instance, DOGE’s Directional Movement Index (DMI) shows the positive directional indicator (+DI) in blue lying below the negative directional indicator (-DI) in red, signaling continued bearish control.

DOGE dmi
Dogecoin Price Analysis. Source: TradingView

An asset’s Directional Movement Index (DMI) measures the strength and direction of a trend. When the +DI falls below the -DI, it signals a strong downtrend, indicating bearish market conditions where selling pressure dominates and a continued price decline is likely.

Additionally, DOGE’s Chaikin Money Flow (CMF) recently crossed below its zero line, signaling weakening buying pressure. Currently, the indicator stands at -0.05.

Read More: Dogecoin (DOGE) Price Prediction 2024/2025/2030

DOGE rsi
Dogecoin Price Analysis. Source: TradingView

The CMF measures the flow of money into and out of an asset’s market. A CMF value below zero suggests market weakness and liquidity outflow, which traders often interpret as a precursor to a sustained price decline during a downtrend.

DOGE Price Prediction: Coin Risks Falling to August 5 Low

DOGE’s derivatives market has also seen a decline in trading volume over the past 24 hours, dropping by 24% to $650 million.

Despite DOGE’s technical indicators suggesting an extended downtrend, futures traders continue to open long positions, as shown by its positive funding rate across cryptocurrency exchanges. Currently, DOGE’s funding rate stands at 0.008%.

doge funding rate
Dogecoin Funding Rate. Source: Santiment

A positive funding rate indicates that there is more demand for long positions, meaning more traders are betting on a price rally than on a decline.

However, if selling pressure increases and DOGE continues its downward trajectory, its value could drop toward its August 5 low of $0.08, risking the liquidation of several long positions.

Read more: Dogecoin (DOGE) vs Shiba Inu (SHIB): What’s the Difference?

dogecoin price prediction
Dogecoin Price Analysis. Source: TradingView

Conversely, a bullish shift in market sentiment could lead to a 10% price surge, pushing DOGE to $0.11.

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Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Abiodun Oladokun
Abiodun Oladokun is a technical and on-chain analyst at BeInCrypto, where he specializes in market reports on cryptocurrencies from diverse sectors, including decentralized finance (DeFi), real-world assets (RWA), artificial intelligence (AI), decentralized physical infrastructure networks (DePIN), Layer 2s, and meme coins. Previously, he conducted market analysis and technical assessments of various altcoins at AMBCrypto, utilizing on-chain analytics platforms like Messari, Santiment,...
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