Dogecoin (DOGE) rose 2.93% to about $0.0721 after touching a two-week high of $0.073, as leveraged demand and short liquidations lifted the memecoin.
Key Points:
- DOGE held $0.07 support before reaching $0.073 and moving above its 9-day and 21-day moving averages.
- More than $1.5 million in short positions were liquidated as the market rebounded.
- The next test is whether spot buyers can support a move through $0.075 toward $0.08.
DOGE Short Squeeze
DOGE held the $0.07 support before reaching $0.073 and moving above its 9-day and 21-day moving averages. Trading volume rose 72% past $500 million, while market capitalization stood near $12.3 billion.
CoinGlass data cited by the outlet showed more than $1.5 million in shorts were liquidated below $0.07, forcing bearish traders to buy back DOGE as prices recovered.
Futures inflows reached $381 million against $372 million in outflows, lifting netflow 172% to $9.36 million after months without a positive close. Derivatives volume climbed 114% to $1.22 billion, while open interest rose 5.3% to $1.23 billion. The long/short ratio reached 1.01 overall and exceeded 2 on Binance and OKX.
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DOGE Price Outlook
The technical setup also improved. Dogecoin's Relative Strength Index rose to 53, placing it on the bullish side of neutral and supporting the case for another test of $0.075. A break above that resistance could open the way to $0.08, according to the analysis.
The risk is that spot demand has not strengthened alongside leverage. Spot netflow hit a monthly high of $5.23 million on Aug. 11 before cooling, a pattern the analysis linked to profit-taking as prices rose.
That divergence matters because short squeezes can accelerate a move without creating durable demand. If spot selling increases while speculative activity fades, DOGE could revisit $0.070.
The latest rebound follows a volatile stretch for Dogecoin. On Jun. 23, AMBCrypto reported DOGE near $0.079 after a 5% drop below $0.08, with futures netflow at negative $46 million and RSI at 28. The move back above $0.07 now shows leverage has flipped from defensive to supportive, but DOGE still needs spot buyers to confirm a broader recovery.
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