What Is Dogecoin's Next Move? Watch These 2 Liquidation Levels, Trader Warns

Dogecoin's (CRYPTO: DOGE) relatively flat performance over the past week has market commentators speculating about two important liquidation levels for the meme coin.

What Happened: Crypto trader Trader Tardigrade noted that Dogecoin's liquidation heatmap reveals two major liquidity targets above the current price:

• $0.189 with $2.46 billion in liquidity
• $0.1995 with $2.14 billion in liquidity

These are likely areas market makers will aim for, suggesting upward price potential.

Trader Hardy observed Dogecoin has returned to a strong support zone, potentially setting up a new long opportunity. The chart will be closely monitored over the next few days for confirmation.

Also Read: Bitcoin, Ethereum, XRP, Dogecoin Start The Week Green Ahead Of US-China Trade Talks

Why It Matters: Pseudonymous developer PennybagsCX stated that Dogechain, launched in 2022, is quietly transforming Dogecoin from a meme-based currency into a full-fledged utility ecosystem.

As an EVM-compatible blockchain, Dogechain enables smart contracts and allows DOGE to be bridged and used for transactions across a growing suite of applications.

This includes gaming dApps, NFT marketplaces, and DeFi protocols like lending, borrowing, and yield farming, all powered by DOGE.

By expanding Dogecoin's use cases beyond simple payments, Dogechain is unlocking new opportunities for holders and helping build a vibrant, utility-driven future for the Doge community.

Coinglass data shows Dogecoin's open interest is up by 1.3% to $1.99 billion, while derivatives trading volume expanded by 25.4% in a single day.

Options volume and options open interest expanded by 1,829% and 502.9%, respectively.

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