Why is Dogecoin price down today?

Dogecoin price retracts as the wider crypto market corrects and traders choose to book profit.

Dogecoin
DOGE

tickers down
$0.16

is down 5% today, hitting an intraday low of $0.16192 on May 28. This decline outpaces the broader crypto market, which fell around 1.47% over the same period. The dip in DOGE follows Bitcoin’s
BTC

tickers down
$70,999

3.2% drop in the past 24 hours.

Dogecoin open interest decline
DOGE has recently seen significant gains, rising over 7.5% in the past 30 days. However, the price started to turn down on May 22 and May 26, now trading 2.5% below its value from a week ago.

This decline coincides with a decrease in futures open interest (OI), which has dropped 37% from $1.67 billion in mid-April to $1.04 billion, according to Coinglass.

The funding rate for Dogecoin perpetual futures contracts also fell from 0.0243% on May 23 to 0.0118% on May 28.

Reduced funding rates and OI indicate bearish sentiment among traders, potentially increasing selling pressure on DOGE.

Whale activity signals bearish trend
The recent marketwide correction, which saw millions of dollars liquidated, has also impacted DOGE, bringing its price as low as $0.1512.

Whale activity, marked by large transactions involving $100,000 or more worth of DOGE, has increased.

According to IntoTheBlock, transactions worth between $100,000 and $1 million have risen by over 28% in the past week,

while transactions over $1 million have surged by more than 55% in the last 30 days. This uptick suggests institutional investors are cashing in on profits, reinforcing the ongoing correction.