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Dogecoin (DOGE) traders experienced significant liquidations in the past 24 hours due to price volatility. CoinGlass data reveals that $3.61 million worth of DOGE positions were liquidated during this period.

Dogecoin Price Dip Causes Unexpected Losses

The market saw a substantial 123% liquidation imbalance, with long positions suffering the most. Long DOGE traders lost $2.89 million. Investors, possibly emboldened by the previous seven days of price increases, may have been caught off guard.

However, DOGE encountered resistance around $0.180, subsequently dropping to a low of $0.1746, breaching several support levels. This unexpected downturn negatively impacted long position traders.

Short DOGE traders fared better, with losses totaling only $720,160.

At press time, DOGE was trading at $0.1789, down 1.16% in the last 24 hours. Trading volume also decreased slightly by 9.32% to $1.1 billion.

Despite the recent downturn, market sentiment remains bullish, potentially fueled by increased activity from DOGE whales. Whale transactions surged over 500%, suggesting large investors anticipate further price appreciation.

DOGE Diverges from Bitcoin Amidst Potential Upside

In contrast to DOGE, the broader cryptocurrency market, particularly Bitcoin (BTC), experienced a more balanced liquidation of $40.72 million ($20.47 million in long positions and $20.25 million in short positions). This indicates that DOGE's price action diverged from Bitcoin's during this period.

Despite the recent liquidations, many market participants remain optimistic about May, a month historically favorable for Dogecoin. Read original article on U.Today