On Sunday, Dogecoin trades quietly in the market, with its spot and derivatives volume down. According to CoinMarketCap data, Dogecoin’s trading volume was down 24% in the last 24 hours to $703.75 million. In the derivatives market, volumes were down 23% to $1.61 billion. However, an unusual futures flow drop appears in the market, upsetting the seemingly quiet trading narrative.
According to CoinGlass data, Dogecoin saw a 100,456.56% futures netflow drop within an eight-hour time frame. In an eight-hour time frame, Dogecoin saw $72.10 million in futures inflow, which was exceeded by outflows, which came in at $99.51 million. The difference yields a negative netflow drop of 100,456.56%. The netflow drop might be as traders drastically adjusted positioning following a weekend pattern that has emerged in recent weeks.
Traders might be reducing their exposure as the market saw volatile action over the weekend. Sundays have often been marked by volatility, building up on selling ahead of the weekend. A recurring narrative has emerged in recent months, with late-week selling dragging prices toward the lower end of the range toward Saturday. Dogecoin open interest remains in the positive, up 3.93% in the last 24 hours, as open interest for major cryptocurrencies declined in this time frame.
This, coupled with the unusual netflow spike, although negative, suggests that traders might need to pay attention to Dogecoin. Traders appear to be on the defensive as Dogecoin’s price drop since March 4 is entering its fourth day. At the time of writing, DOGE was down 2.27% in the last 24 hours to $0.088 and down 4.73% weekly.
Price action in the crypto market has largely been driven by macro narratives rather than new catalysts, causing uncertainty. Traders are watching whether $0.088 holds as a support, as a rebound could target $0.103, which coincides with the daily MA50 and potentially $0.117, while a break lower may open the door to deeper support around $0.079.
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