Dogecoin (DOGE) slid more than 10% in the past 24 hours, trading near $0.239 today on Sept. 22. The sell-off comes just days after the launch of the REX-Osprey Dogecoin ETF (DOJE), which briefly lifted DOGE above $0.27.
The ETF was hailed as a milestone for the memecoin, offering institutions a regulated way to gain exposure. But the rally quickly lost steam. Traders positioned ahead of the launch used the opportunity to take profits, sending lower prices in what has become a familiar pattern in crypto markets — “buy the rumor, sell the news.”
Whales Move In, Retail Follows
Onchain data shows large Dogecoin wallets moved significant holdings onto exchanges after the ETF announcement. Such inflows often precede heavy selling, and this time was no different.
When whales unload, the impact ripples across the market. Prices dip, smaller traders panic, and the decline accelerates. That cycle was on full display as DOGE lost the $0.25 level.
The drop triggered a wave of forced selling in the derivatives market. More than $62 million in Dogecoin positions were liquidated over the past 24 hours, with almost all of it — $60.4 million — coming from long bets. Short positions accounted for just $1.78 million.
Liquidations occur when traders borrow to bet on price moves and are forced to close once the market turns against them. In Dogecoin’s case, the sharp fall below $0.25 wiped out leveraged longs, deepening the slide.
DOGE at Risk of Deeper Correction
Charts show the damage clearly. Dogecoin price broke below $0.25, a level that had acted as support since early September. Losing this zone flips it into immediate resistance, making it harder for bulls to regain control.
The next major floor is at $0.23, where DOGE consolidated through July and August. If this fails, the chart points toward $0.20–$0.21, which aligns with the 200-day EMA and prior accumulation levels.
On the upside, reclaiming $0.25 is critical. Above that, DOGE faces resistance at $0.27–$0.30, a zone that capped gains in both April and September. Sustained closes above $0.30 would shift momentum back in favor of buyers.
Moving averages confirm a weakening trend. DOGE is trading around its 100-day EMA ($0.225) and just above the 200-day EMA ($0.219). A decisive break below both would confirm a bearish structure and likely accelerate selling.
Momentum has cooled sharply. The relative strength index (RSI), which showed overbought conditions above 70 earlier this month, has now dropped to 44.7. This signals sellers have regained the upper hand, though the indicator is not yet oversold — leaving room for further downside.
Fed Rate Cut and Market Losses Drive Crypto Lower
The sell-off is not limited to Dogecoin. Bitcoin (BTC) traded near $112,800, down 2.4% daily. Ethereum (ETH) slid 6.2% to $4,204, while Solana (SOL) dropped nearly 7% to $223. XRP (XRP) was also down more than 6%.
The broader weakness comes as the US Federal Reserve begins easing monetary policy. On Sept. 17, 2025, the Fed cut interest rates by 25 basis points, bringing the federal funds range to 4.00%–4.25%, its first cut since December 2024. Policymakers also signaled two more cuts before year-end, aiming for 3.50%–3.75% by December.
The move shows slowing job growth and modest economic forecasts, even as inflation remains above the Fed’s 2% target. For speculative assets like Dogecoin, the path of US interest rates is critical. Rate cuts lower borrowing costs and often support risk-taking, but lingering inflation concerns could limit how aggressive the Fed becomes. That leaves memecoins vulnerable to swings in macro sentiment.