Foreign media reports that Dogecoin has entered a correction phase after a nearly 40% surge, with the price approaching a demand zone around $0.097. The article argues that this level will be a key observation point for short-term price movements; whether buying pressure returns could determine whether this correction is a temporary pullback or a further decline.
Pullback to test previous breakout
The report noted that DOGE broke out of a bullish pattern in April and subsequently rose rapidly. The recent pullback does not completely negate the previous upward trend, but it is testing the continuation of the breakout. So far, the price decline has been relatively direct, and the market has not yet seen a significant rebound; short-term pressure remains biased towards the bears.
The article considers the area around $0.097 as the first relatively clear demand zone. If support reappears in this area, DOGE may simply be a normal pullback within a larger uptrend; if it falls below this level, the correction could extend in both time and magnitude.
Active addresses drop to low levels
On-chain data also shows that network participation cooled during the pullback. The report points out that the number of active Dogecoin addresses has dropped to a low point, approximately 33,000 at the time of writing. This is seen as a signal of weakened retail participation, with some investors possibly choosing to remain on the sidelines or temporarily exit the market during the recent volatility.
However, transaction volume is rising simultaneously. The article argues that this means that although the activity of ordinary users has decreased, on-chain fund flows have not contracted accordingly, and the market's internal participation structure may be changing.
Increase in large holding addresses
The report also mentioned that the number of wallets holding more than $100,000 is increasing. Based on this, the article concludes that some medium- to large-sized holders may be accumulating shares during price pullbacks. These funds often position themselves in advance near key price levels, and their activity typically coincides with increased trading volume.
- There are approximately 33,000 active addresses.
- The number of addresses holding more than $100,000 has increased.
- $0.097 is considered a key short-term level.
Overall, foreign media commentators believe that DOGE is currently testing the previous upward structure rather than completely breaking the trend. Whether it can stop falling depends on whether clearer buying support appears near the demand zone.
