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The last 24 hours have seen the combined crypto market liquidation topping $200 million from over 92,000 traders. Dogecoin ($DOGE) emerged as the most impacted meme coin, with total liquidations amounting to $12.02 million, per CoinGlass data.
Traders go short on Dogecoin
As revealed by CoinGlass data, the bulk of the liquidations comes from short positions from a total of 43,231,268 $DOGE in just 24 hours. While short liquidations saw over 28 million $DOGE removed, long liquidations came in at approximately 14 million $DOGE.
With short liquidations exceeding long liquidations by almost twice, there is an imbalance in $DOGE futures trading in the last 24 hours. This difference is reflected in Dogecoin’s current price movement. The price of $DOGE continues to climb, and it is majorly stimulated by short sellers being squeezed out of the market.
Within the last 24 hours, the price of $DOGE has increased by 2.9% to trade at $0.2793, per data from CoinMarketCap. The trading volume also spiked by 38.41% to $2.34 billion, indicating investors’ increased activity.
More rally ahead of $DOGE?
The price of $DOGE might continue to climb higher as long as short sellers continue to not have their way. Another major factor to propel the price of the meme coin is a potential Dogecoin exchange-traded fund (ETF) approval.
Fox Business Journalist Eleanor Terret recently confirmed the acknowledgment of $DOGE ETF filings by the U.S. Securities and Exchange Commission (SEC). According to the report, the SEC acknowledged Grayscale’s NYSE 19b-4 application for a $DOGE ETF. In addition, the agency acknowledged Grayscale’s 19b-4 application to convert its XRP Trust into an ETF.
While this acknowledgment does not imply automatic approval, it indicates an open-mindedness from the regulator. An eventual $DOGE ETF approval could signal the legitimacy of the asset, which could lead to increased adoption among institutions.
Meanwhile, $DOGE has formed a traditional cup pattern, indicating more bullish momentum ahead.