DOGE Tanks as Qubic Threatens 51% Attack – Futures Open Interest Slides 8%

DOGE Slides After Qubic Threat Sparks Security Fears and Derivatives Unwind

Dogecoin faced renewed selling pressure on Tuesday as security concerns collided with broader market weakness. A controversial governance vote by the Qubic blockchain community to potentially target Dogecoin with a 51% attack rattled sentiment, compounding losses despite continued whale accumulation.

The decline followed Qubic’s earlier claim of successfully compromising the Monero network, heightening concerns that a similar disruption could hit DOGE. Traders responded swiftly, pricing in increased risk, while leveraged positions across derivatives markets began to unwind.

Key Developments:

Qubic’s forum approved a proposal to redirect hashpower toward Dogecoin, raising the prospect of a coordinated 51% attack.
The move comes just days after Qubic claimed responsibility for disrupting Monero’s block validation process.
Despite mounting fears, large wallets accumulated 680 million DOGE in August, suggesting long-term confidence.
DOGE futures open interest dropped 8%, reflecting a pullback in leveraged bullish bets.

Price Action Overview:

DOGE fell 5% over a 24-hour window from $0.22 to $0.21 between August 19 at 06:00 UTC and August 20 at 05:00 UTC.
The steepest drop occurred between 13:00 and 15:00 UTC on August 19, when volume surged to 916 million — nearly double the daily average.
$0.22 was firmly rejected as resistance, while $0.21 acted as short-term support.
Late trading saw tight consolidation between $0.2120 and $0.2130, with the session ending at $0.2124.

Technical Breakdown:

Resistance: Repeated rejection at $0.22 confirms a strong supply zone.
Support: $0.21 is holding for now, though a break lower could test $0.208.
Volume: Panic-driven selling pushed volume 100% above average.
Price Structure: Narrow range in the final hours points to indecision, not recovery.
Derivatives: 8% drop in futures open interest signals waning confidence among speculators.

Market Focus Ahead:

Whether Qubic will follow through with the proposed DOGE network attack.
How whale accumulation holds up against retail capitulation at current levels.
Potential for further declines in open interest to impact volatility and trend direction.
A confirmed move above $0.22 or below $0.21 as the next key breakout signal.