Dogecoin Faces Selling Pressure as Price Drops to $0.088

Dogecoin (DOGE) has faced significant selling pressure, resulting in a notable decline of 10.48% in its price to a low of $0.088. This downturn marks a continuation of its bearish trend, as the cryptocurrency has recorded lower lows for three consecutive sessions. The price has struggled to maintain momentum, having been rejected at a resistance level of $0.106, and has fallen below the short-term exponential moving average (EMA) of $0.098, indicating that the bearish sentiment is strengthening.

### Decline in On-Chain Transactions

A critical factor contributing to Dogecoin’s decline is the sharp decrease in on-chain transactions. According to data from Santiment, the number of Daily Active Addresses (DAA) for Dogecoin has plummeted by 78.34% year over year, falling from 87,700 to 28,000 in February 2026. This drastic drop suggests a significant exit of investors from the market, which is reflected in Dogecoin’s ongoing bearish performance. The Price DAA Divergence has also reached its lowest point in two months at -46%, further illustrating a lack of adoption, which is essential for any upward price movement.

### Increasing Selling Pressure and Market Liquidity

The broader market sell-off has exacerbated selling pressure on Dogecoin. Recent futures market data highlights an increase in outflows, with Dogecoin experiencing $736 million in outflows compared to $659 million in inflows. This shift has led to a dramatic 418% increase in overall Futures Netflow, bringing it to – $77.39 million. Such figures indicate that more investors are opting to sell their Dogecoin holdings, driven by concerns over potential losses.

Additionally, the liquidation rate has surged, with $6.5 million in long positions liquidated, including $3.3 million in just the past few hours. The spot market has also seen heightened selling activity, with 976.75 million in sell volume compared to 928 million in buy volume, resulting in a negative Buy Delta of -48 million. This data underscores a prevailing fear among investors, prompting many to liquidate their positions.

### Future Outlook for Dogecoin

Currently, Dogecoin is grappling with significant selling pressure influenced by its deteriorating fundamentals, notably the decline in on-chain transactions and the broader market downturn. The negative Directional Movement Index (DMI) has spiked to 54, while the positive DMI has decreased to 28. Should the overall market sell-off persist, Dogecoin may drop to the $0.080 level.

Conversely, a reversal in market sentiment could provide Dogecoin with the opportunity to recover. For this to happen, it will need to surpass its short-term moving averages, specifically the 20- and 50-EMAs, and aim for the $0.1 mark. The coming days will be crucial for Dogecoin as it navigates these challenging market conditions.