Dogecoin, the leading meme cryptocurrency by market capitalization, has recently seen a dip in its upward momentum, sparking widespread speculation in the crypto world. This downturn follows a significant sell-off by a major investor, known as a whale, raising questions about Dogecoin's future price direction.

On-chain data reveals that a massive 90 million Dogecoins were sold to Coinbase within the last 24 hours. This large-scale sale has heightened bearish sentiments among investors, as it considerably increases the selling pressure on the token.

Whale Alert, a transaction tracking service, reported that an unknown wallet transferred 89.99 million DOGE, worth $15.18 million, to Coinbase in a single transaction. After this transaction, the wallet was emptied, and it was discovered that it had only received these tokens earlier in the day before immediately moving them to the exchange. This unusual activity has led to much speculation about the whale's intentions within the crypto community.

Currently, Dogecoin’s price has dropped by 2.24% in the last 24 hours, now trading at $0.1662. The meme coin experienced lows of $0.1622 and highs of $0.1741 during this period, indicating significant volatility.

Data from Coinglass shows substantial Dogecoin liquidations amounting to $4.93 million, aligning with the increased selling pressure from the whale's transaction. Open Interest (OI) for DOGE also decreased by 4.59% to $987.85 million, with derivatives volume falling by 16.96% to $3.15 billion. These figures suggest a decline in investor interest in Dogecoin, contributing to its current volatility.

Despite the downturn, Dogecoin's Relative Strength Index (RSI) is at 56, indicating some potential for upward movement as the token is neither overbought nor oversold. According to an analysis by CoinGape Media, if Dogecoin can break above the $0.17 level, it could target a resistance at $0.3. Conversely, falling below the crucial $0.16 support level could lead to a decline towards $0.14.

Interestingly, Dogecoin has been on an upward trend over the past week, gaining approximately 9%. This recent activity underscores the ongoing volatility and uncertainty in the Dogecoin market.