DOGE Declines 5% on Quadrupled Volume, Testing Major Support Zones

DOGE Drops 5% as Sellers Regain Control Amid Volume Spike

Dogecoin (DOGE) extended its decline Monday, slipping below key support levels as traders rotated out of meme coins and into cash amid rising macroeconomic pressure and falling risk appetite across digital assets.

Breakdown Overview

DOGE slid 5% in the 24-hour period ending August 5 at 20:00, dropping from $0.21 to $0.20. The token traded within a tight $0.013 range between $0.198 and $0.211, with downside pressure intensifying at 14:00, when volume spiked to 877.9 million—over 3x its daily average of 268.85 million. That surge triggered a decisive break below $0.205 and erased the token’s early-session gains.

By the end of the session, DOGE had settled near $0.1985 after briefly dipping to $0.1975. A minor bounce followed, but the failure to reclaim the $0.205 level confirmed continued bearish momentum.

Context and Market Drivers

DOGE’s slide mirrors the broader crypto market sell-off, which has been fueled by geopolitical instability, hawkish Fed commentary, and renewed volatility in global equities. Over the past week, crypto-linked ETFs have seen $223 million in outflows, according to CoinShares, reinforcing concerns around risk-off positioning among institutions.

The meme coin segment, once driven by retail enthusiasm, is now under pressure from dwindling liquidity and a shift by large holders into higher-beta altcoins or fiat positions. Despite brief signs of accumulation last week, DOGE’s inability to hold above $0.205 has undermined any short-term bullish outlook.

Key Price Action

DOGE reached a session high of $0.211 at 01:00 but reversed sharply by mid-day.
A steep drop from $0.205 to $0.199 occurred during the 14:00 hour on 877.9M volume.
A second flush to $0.1975 was recorded at 19:51 on a 19.04M trade, over 70x the hourly average.
The token ended at $0.1985, just above session lows, with resistance forming at $0.205.
The bounce lacked conviction, as rebound volumes remained subdued.

Technical View

DOGE is currently trading in a 6% range, with the $0.198–$0.199 zone acting as fragile support. Momentum indicators continue to trend bearish, and volume profiles show that sellers remain dominant. Unless DOGE can reclaim $0.205 with strong buying interest, the risk of further downside toward $0.185 remains high.

What Traders Are Watching

Can DOGE stabilize above $0.198 or will selling accelerate toward $0.185?
Will volume improve on any bounce attempts, or remain concentrated on sell-offs?
Is there potential for bullish divergence on intraday momentum charts?
Will broader market sentiment recover as ETF outflows subside?

DOGE remains on a cautious footing as traders weigh near-term technical weakness against broader macro uncertainty.