Dogecoin trades under pressure, with the 50, 100 and 200-day EMAs limiting upside.
Retail traders stay on the sidelines as Open Interest lags amid zero ETF inflows.
The MACD upholds a slight positive edge, but the general outlook remains bearish.
Dogecoin (DOGE) is trading marginally above its intraday open of $0.1403 at the time of writing on Friday. Support at $0.1321 has been holding steady since November 20, despite the risk-off sentiment across the cryptocurrency market.
The Federal Reserve’s (Fed) decision to cut interest rates by 25 basis points on Wednesday was characterised by a sharp rise in volatility, as investors digested the hawkish outlook likely to set the tone in 2026.
Inflation risks and a weak labor market stood out as factors that could prompt the central bank to pause its monetary easing cycle, an outlook that may continue to drive macroeconomic uncertainty.
Dogecoin faces declining institutional and retail interest
The Dogecoin derivatives market is significantly suppressed, with futures Open Interest (OI) at $1.5 billion on Friday, down from $4.4 billion on October 10.
This sharp decline in OI, which represents the notional value of outstanding futures contracts, was triggered by macroeconomic uncertainty and the October crash, which liquidated over $19 billion in assets in a single day.
Retail interest has since then remained significantly subdued, reflecting a sticky risk-off sentiment as investors stay on the sidelines. Low OI also suggests that investors have lost confidence in the market, which may continue to cap rebounds.
The launch of spot Exchange Traded Funds (ETFs) in November was a major milestone for Dogecoin, being the largest meme coin by market capitalisation. However, institutional interest has remained on the back foot, characterised by mild ETF inflows.
According to SoSoValue data, US-listed DOGE ETFs recorded no flows on Thursday, after posting nearly $172,000 in inflows on Wednesday. The cumulative inflow volume averages $2 million with net assets of $5.74 million. Two Dogecoin spot ETFs are operating in the US, including Grayscale’s GDOG and Bitwise’s BWOW.
Technical outlook: Dogecoin extends sideways trading
XRP is trading at $0.1397 and remains below the falling 50-day Exponential Moving Average (EMA) at $0.1625, 100-day EMA at $0.1813 and 200-day EMA at $0.1957, keeping the broader bias bearish. The Moving Average Convergence Divergence (MACD) indicator holds marginally above the signal line (red), while the green histogram bars contract on the daily chart, suggesting fading bullish momentum. Dogecoin could extend the downtrend below the support at $0.1332 if the Relative Strength Index (RSI) at 41 declines further.
The descending trend line from $0.3063 limits rebounds, with resistance at $0.1688. DOGE's trend strength remains elevated but easing, as the Average Directional Index (ADX) hovers near 37. A daily close above the initial barrier at $0.1688 would improve the tone and expose the 100-day EMA at $0.1813. Failure to reclaim the 50-day EMA would keep rallies capped and leave sellers in control.
