- The crypto market saw a correction, dropping from $3.31 trillion to $3.11 trillion.
- Bitcoin fell to $91,000, and Dogecoin dropped by 20%, trading at $0.38.
- Dogecoin may stabilize or trade sideways after reaching oversold levels.
During the last two days — the crypto market has finally seen a major correction period following the overwhelming bullish performance since the start of November.
Since November 25th, the total cryptocurrency market capitalization fell from its all-time high of $3.31 trillion to today’s $3.11 trillion. This retraction implies that investors and market makers are finally taking profits after substantial gains this month.
Bitcoin saw its $100,000 milestone postponed as it also dipped to around the $91,000 level. Meanwhile, Dogecoin also saw significant retractions in its price movement.
The world’s first memecoin began its correction period two days earlier on November 23. On that date, DOGE traded at $0,47 — and since then has seen a near 20% retraction, currently trading at $0,38 according to CoinMarketCap.
Before the descension, Dogecoin’s Relative Strength Index showed that the currency reached extremely ‘overbought’ levels at 85 points — indicating that a correction could ensue. Following that dip, Dogecoin finally reached ‘oversold’ levels this afternoon, which could indicate that the currency could stop its bearish movement, or at least trade sideways for the next couple of days.
Generally speaking, the end of the year tends to be a slower period for risky assets, as investors focus on taking profits and the holiday season. With that in mind, this retraction could mark the strongest downward turn for Dogecoin, and all other assets for that matter, as we head into December.
Also, given that Dogecoin was among the first to enter the correction period — the memecoin could also be one of the first ones to break free from that downward pressure. In fact, over the last 8 hours, $DOGE already showed a small comeback, growing 6% in value in this short timestamp.
Supporting this narrative is the fact that Dogecoin’s future looks rather exciting for holders. Its well-known relationship with X and Tesla CEO Elon Musk could bear fruit as Musk deepens his involvement in the future Trump government.
