The trading volume of Dogecoin has dropped to $415 million, will the bearish pressure continue?

The trading volume of Dogecoin has fallen to its lowest level since November 2024, down to only $415 million, indicating a significant decrease in trader participation. This decline coincides with DOGE not surpassing the resistance level of $0.48 since December 8. The Weighted Sentiment index is also at -0.57, indicating an increase in negative comments on social media. Additionally, technical analysis on the 4-hour chart shows that DOGE is trading below a descending triangle pattern, suggesting that the bearish trend may continue. However, if market sentiment turns positive and trading volume increases, the price of DOGE could recover. Another article pointed out that the trading volume of Dogecoin has sharply decreased by 74% in the past week, reaching a 42-day low, and open interest has also significantly declined, indicating a loss of interest from short-term traders. All these factors suggest that bearish pressure on Dogecoin may continue in the short term, but the possibility of recovery cannot be ruled out if there is a positive change in market sentiment and trading volume.