Dogecoin was rejected from the top of its multi-week trading channel, a move that's now fueling talk of a deeper correction. The token is testing the $0.1020 support zone — a level that lines up with both the channel's midpoint and the 50-day Simple Moving Average. If that floor cracks, the next major target sits at $0.0883, the lower boundary of the channel.
The rejection and the liquidity sweep
Crypto analyst Ali Charts noted that DOGE retraced to $0.1020 after testing overhead resistance. Before the pullback, the token had swept a liquidity zone to the upside, according to analyst Trading Different. That kind of sweep often precedes a reversal, and this time it did — price turned south almost immediately after grabbing the liquidity above.
Where the liquidity sits now
On the upside, a pool is anchored at $0.10445, but it's becoming harder for bulls to reach as the price keeps sliding. Downside liquidity is concentrated at $0.10040. The technical setup suggests a high probability that level will be swept soon. That would mean a brief dip below current support before any bounce — or a full breakdown if the selling pressure doesn't let up.
What a break below $0.1020 means
Losing $0.1020 would put DOGE squarely in bearish territory. The next stop is $0.0883, the bottom of the channel. That's a roughly 14% drop from here. The 50-day SMA sitting at $0.1020 gives the level extra weight — it's a line that trend traders watch closely. A decisive close below it would signal that the multi-week uptrend inside the channel is over.
For now, all eyes are on the $0.10040 liquidity zone. If that gets taken out in the next session, the move lower could accelerate.
