Dogecoin (DOGE) jumped more than 15% to just above 10 cents on Tuesday, leading a crypto rebound as Bitcoin (BTC) held above $85,000.
Key Points:
- Dogecoin posted the biggest gain among major tokens as Bitcoin held near $85,600.
- Short sellers lost $844 million of the roughly $1 billion liquidated across crypto over the past day.
- Analysts say further gains now depend on spot buyers rather than forced short covering.
Dogecoin Price Tops 10 Cents
Dogecoin climbed past 10 cents during Tuesday's Asian morning hours, the largest gain among major tokens on a broadly green day. Bitcoin held just above $85,600, flat over the past hour after adding roughly 5% over 24 hours. Most of that advance came from traders being forced out of bearish bets, a process in which exchanges buy the asset back once a short seller's collateral no longer covers the loss.
Exchanges liquidated just over $1 billion of crypto positions over the past day, CoinGlass data show, and short sellers accounted for $844 million of that total, or 82%. Bitcoin bets made up about $608 million of the damage and Ether (ETH) positions $181 million, while the single largest hit was a nearly $21 million Bitcoin position on Hyperliquid.
Most major tokens followed Dogecoin higher.
XRP (XRP) added 7% to nearly $1.52 and Solana (SOL) rose 5% to just under $117. Ether gained 3% to nearly $2,740, while BNB (BNB) and Tron (TRX) each picked up between 1% and 2%. Zcash (ZEC) was the only large token to fall, sliding 4% to just above $1,450.
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Dogecoin Leverage Builds
Traders piled into Dogecoin futures as the token broke out, lifting open interest to $1.57 billion, the highest reading since Aug. 22, with Binance accounting for $345 million of that. Four whale addresses opened long positions worth 78.2 million DOGE, and the MACD line crossed above its signal line, a pattern technical traders read as bullish.
Hourly liquidations fell below $11 million, down from more than $300 million an hour at the peak of Monday's move, leaving the next leg dependent on buyers rather than sellers being forced out.
Nicolai Sondergaard, a senior research analyst at Nansen, said price "has turned bullish faster than positioning has," and he wants sustained spot and exchange-traded fund flows before treating the advance as durable. Jasper De Maere, an OTC trader at Wintermute, called talk of a fresh record above Bitcoin's October 2025 peak before year-end "premature at the moment," while adding that the rally looks "pretty healthy" so far.
Tuesday's move caps a choppy September for the meme coin, which spent most of the month well below the 10-cent mark. Dogecoin recovered from a low of $0.078 on Sept. 16 and pushed back above its 200-day moving average at $0.087, after an earlier rally stalled near $0.095 and left 10 cents out of reach.
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