Dogecoin (DOGE) experienced significant liquidations in the past four hours, as the cryptocurrency market reversed recent gains and prices slipped toward previous lows.
Data from Coinglass reveals that DOGE saw total liquidations of $1.85 million over a four-hour period, with long-position traders suffering the majority of the losses. Long positions were liquidated at a rate 3,444% higher than short positions, reflecting a sharp bearish imbalance.
Specifically, long traders faced over $1.80 million in liquidations, while short traders accounted for approximately $52,750 in losses. This mass sell-off of long positions occurred as Dogecoin’s price declined sharply, undermining bullish market sentiment.
After reaching a peak of $0.167 the previous day amid optimism for a sustained rally, Dogecoin has fallen about 4%, trading at around $0.158 at the time of reporting, according to CoinMarketCap. The sudden downturn triggered liquidation cascades, leading to significant losses for investors betting on price increases.
As DOGE’s price trend shifts in favor of bear traders, market participants are preparing for increased volatility and potential further declines heading into the new month.