Dogecoin Holds Support at $0.070 as Traders Turn Bullish

Dogecoin is currently hovering around the $0.070 mark after seeing a 3.5 percent dip over the past week. While the general price trend still faces some downward pressure, data from the derivatives market suggests that investors are becoming more optimistic about the coin. The long to short ratio has climbed to 1.25, which is its highest point in over a month. This indicates that more traders are betting on a price increase rather than a decline.

Supporting this shift is the funding rate, which currently sits at a positive 0.0074 percent. When this rate is positive, it shows that traders holding long positions are willing to pay a premium, reflecting a strong demand for bullish exposure. These signs point to a potential short term recovery if buyers can keep holding the line at current levels.

On the technical side, the market is showing a bullish divergence. Although the price has dipped, momentum indicators like the Relative Strength Index and the Awesome Oscillator are showing that the selling energy is fading. If the price stays above $0.070, the first big test will be the 50 day moving average at $0.075. Traders should keep a close eye on the $0.067 support level, as a drop below that could lead to further declines.