Dogecoin’s (DOGE) drop below a long-held support level has pushed traders and 
long-term holders to reassess the token’s outlook heading into 2026. Once 
viewed as relatively resilient within the speculative crypto space, DOGE is 
now under pressure after losing key technical structure and momentum. Related 
Reading: Bitcoin Feels The Weight Of Quantum Risk Concerns, Industry Leaders 
Warn DOGE is down about 66% over the past year and trades near $0.13, far 
below levels that previously drew consistent buying. The decline reflects 
thinner liquidity, weaker speculative interest, and a market increasingly 
favoring assets with clearer narratives, suggesting that market size alone may 
no longer be a price support. DOGE&#8217;s price trends to the downside on the daily 
chart. Source: DOGEUSD on Tradingview Key Support Gives Way as Selling 
Pressure Builds In the past week, Dogecoin (DOGE) slipped below the $0.129 
area, a level that had capped losses through several consolidation phases. The 
breakdown was accompanied by elevated trading volume, signaling active selling 
rather than a slow drift lower. Intraday volatility expanded to around 4%, 
reflecting heightened sensitivity as traders reacted to the loss of range 
support. Technical analysts note that DOGE has also broken a multi-year 
ascending trendline that guided price action through much of the 2024 cycle. 
On shorter timeframes, the token now trades below key moving averages, with 
rebounds toward $0.132–$0.134 consistently meeting selling interest. Technical 
Signals Point to a Fragile Dogecoin Structure Momentum indicators continue to 
lean lower, and several analysts warn that failure to hold the nearby $0.128 
level could expose DOGE to deeper downside. Below that, the next widely 
watched support zone sits near $0.090, implying a potential decline of around 
30% from current levels if bearish pressure accelerates. Ichimoku-based 
signals have also turned negative, reinforcing the view that the broader trend 
has shifted. While short-term countertrend patterns occasionally emerge, they 
carry less weight against the backdrop of a confirmed break in higher- 
timeframe structure. Long-Term Outlook Faces a Test Into 2026 Beyond charts, 
Dogecoin’s longer-term outlook remains uncertain. Spot DOGE ETFs launched in 
late 2025 introduced a new source of demand, but it is still unclear whether 
that capital will prove sticky enough to offset ongoing selling. Meanwhile, 
discussions around adding utility through sidechains or layer-2 solutions 
continue within the developer community, though progress has been slow and 
fragmented. Related Reading: Pundit Shares Why XRP Will Become Expensive And A 
$1,000 Price Tag Is Possible Dogecoin is still the largest meme coin by market 
value, but that status alone does not provide a clear investment thesis. As 
2026 approaches, traders appear increasingly focused on whether DOGE can 
stabilize above broken support and attract sustained demand. Cover image from 
ChatGPT, DOGEUSD chart from Tradingview

Dogecoin Breaks Key Support as Traders Reassess Long-Term Outlook Ahead of 2026

CoinEx’s Jeff Ko tells Cointelegraph there likely won’t be an altseason in 
2026 as liquidity will flow into the top cryptocurrencies.

Crypto altseaon unlikely in 2026 as ‘blue-chip survivors’ to win out: Analyst

ETHzilla sold $74.5 million worth of ether in December to retire debt, marking 
its second major crypto liquidation since October and signaling a clear pivot 
away from the digital asset treasury (DAT) playbook. ETHzilla Liquidates 
$74.5M in ETH to Pay Convertible Note Obligations The Palm Beach, Florida- 
based company ETHzilla disclosed in a recent U.S. Securities […]

ETHzilla Shelves DAT Playbook, Dumps $74.5M in Ethereum to Pay Debt

Dogecoin started a steady increase above $0.130 against the US Dollar. DOGE is 
now consolidating and might decline if it trades below $0.1275. DOGE price 
started a fresh increase above $0.1280 and $0.130. The price is trading above 
the $0.130 level and the 100-hourly simple moving average. There is a bullish 
trend line forming with support at $0.1315 on the hourly chart of the DOGE/USD 
pair (data source from Kraken). The price could aim for a fresh increase if it 
remains stable above $0.1280. Dogecoin Price Consolidates Gains Dogecoin price 
started a fresh increase after it settled above $0.1280, like Bitcoin and 
Ethereum. DOGE climbed above the $0.130 resistance to enter a positive zone. 
The bulls were able to push the price above $0.1320. A high was formed at 
$0.1352 and the price is now correcting some gains. There was a move below the 
23.6% Fib retracement level of the upward move from the $0.1198 swing low to 
the $0.1352 high. Dogecoin price is now trading below the $0.130 level and the 
100-hourly simple moving average. Besides, there is a bullish trend line 
forming with support at $0.1315 on the hourly chart of the DOGE/USD pair. If 
there is another increase, immediate resistance on the upside is near the 
$0.1350 level. The first major resistance for the bulls could be near the 
$0.1380 level. The next major resistance is near the $0.1420 level. A close 
above the $0.1420 resistance might send the price toward $0.1460. Any more 
gains might send the price toward $0.150. The next major stop for the bulls 
might be $0.1550. Downside Break In DOGE? If DOGE’s price fails to climb above 
the $0.1350 level, it could start a downside correction. Initial support on 
the downside is near the $0.1310 level and the trend line. The next major 
support is near the $0.1275 level and the 50% Fib retracement level of the 
upward move from the $0.1198 swing low to the $0.1352 high. The main support 
sits at $0.1235. If there is a downside break below the $0.1235 support, the 
price could decline further. In the stated case, the price might slide toward 
the $0.1220 level or even $0.120 in the near term. Technical Indicators Hourly 
MACD – The MACD for DOGE/USD is now losing momentum in the bullish zone. 
Hourly RSI (Relative Strength Index) – The RSI for DOGE/USD is now below the 
50 level. Major Support Levels – $0.1310 and $0.1275. Major Resistance Levels 
– $0.1350 and $0.1380.

Dogecoin (DOGE) Rebound Hits Resistance, Raising Fresh Rejection Risks

In the wake of a significant shift in crypto regulation spurred by the new 
White House administration under President Donald Trump, lawmakers are working 
on a fresh tax framework aimed at providing clarity and a safe harbor for 
certain transactions involving stablecoins. Proposed Crypto Tax Framework 
Representatives Max Miller from Ohio and Steven Horsford from Nevada have 
drafted a preliminary proposal that seeks to align the tax treatment of 
cryptocurrencies with that of traditional securities. According to a recent 
report by Bloomberg, the draft consists of a blend of policy objectives and 
bill language not yet formally approved. Related Reading: Pundit Shares Why 
XRP Will Become Expensive And A $1,000 Price Tag Is Possible One of the key 
features of this draft legislation is its aim to exempt capital gains tax for 
transactions involving regulated stablecoins. Specifically, the proposal 
proposes to shield transactions that consistently maintain a value between 
$0.99 and $1.01 from taxation. However, this exemption is limited to 
transactions under $200, and the final text may modify which tokens will 
qualify for this safe harbor, as advised by aides to both congressmen. The 
proposal also attempts to establish safe harbors for rewards earned through 
activities like staking, which involves verifying blockchain transactions. 
Representative Miller emphasized that “America’s tax code has failed to keep 
pace with modern financial technology.” He described the bipartisan bill as a 
means to inject clarity, fairness, and common sense into the taxation of 
digital assets. The proposed draft also addresses the taxation of rewards 
earned through staking and mining cryptocurrencies, which involves verifying 
transactions within blockchain networks. Aligning Digital Assets With 
Securities Tax Regime Under guidance from the Internal Revenue Service (IRS) 
issued during the Biden administration, rewards obtained from staking are 
taxed at the time of receipt. Republican lawmakers have voiced concerns 
regarding this approach, arguing that it taxes assets before owners realize a 
gain. Conversely, Democrats maintain that these rewards should be classified 
as compensation and taxed upon receipt. To navigate this divide, Miller and 
Horsford aim to find a compromise, allowing taxpayers to defer tax on rewards 
for up to five years. After this period, the rewards would be taxed as income 
based on their fair market value. Pro-crypto Senator Cynthia Lummis, who 
recently announced that she will not be running for re-election next year, had 
previously introduced crypto tax legislation that would leave such rewards 
untaxed until they are sold. This legislation would align more closely with 
industry preferences. Related Reading: Saylor Sparks Bitcoin Speculation With 
‘Green Dots’ Signal Additionally, the draft aims to bring digital assets under 
the same tax regime that governs securities and, in some cases, commodities 
transactions. It proposes to include cryptocurrencies in capital gains tax 
exemptions for foreign investors trading securities through US-based 
intermediaries like brokers or exchanges. Furthermore, the plan would permit 
cryptocurrency traders to utilize mark-to-market accounting, allowing them to 
recognize unrealized gains and losses based on fair market value at the end of 
each year. The proposed legislation also seeks to impose restrictions on 
deducting losses from wash trades for digital assets and “close existing 
loopholes” that facilitate transactions designed to lock in cryptocurrency 
gains while postponing the associated tax liability. Featured image from 
DALL-E, chart from TradingView.com

Cryptocurrency price in BMD