Threat to Long Traders
Dogecoin is hanging on above $0.17, but a 10% drop could trigger massive losses for long traders. Over $66 million worth of leveraged longs would be liquidated if the price falls below $0.153.
Short Traders on Edge
On the flip side, a 10% price increase to $0.1908 would liquidate over $55 million in leveraged shorts. In the short term, short traders face $20 million in losses if DOGE reaches $0.18, while long traders risk a similar amount if the price dips below $0.17.
Can DOGE Recover to $0.2?
Dogecoin has been buoyed by recent support, including X’s (formerly Twitter) licensing for its money transmitter business. Crypto analysts remain bullish, predicting a potential new all-time high of $1. They believe DOGE’s strong correlation with Bitcoin makes a rally towards $1 possible. DonAlt suggests that DOGE is a worthwhile investment, especially if it dips back to $1.
