The Dogecoin (DOGE) price is facing a potential shift toward a more pronounced downtrend, as recent technical signals suggest growing bearish momentum.

While selling pressure has increased, key support levels remain in focus and could play a pivotal role in determining the next move. The coming days may reveal whether DOGE continues its descent or stages a reversal toward resistance levels.

DOGE Aroon Indicator Shows A Bearish State

The Aroon indicator for Dogecoin currently shows a clear bearish trend, with the Aroon Down at 92.86% and the Aroon Up at just 7.14%. This means that DOGE has recently made a new low, while the upward momentum is weak, as there hasn’t been a recent high.

The high Aroon Down value signals strong downward pressure, indicating that the market has been trending lower. With the Aroon Up nearly flat, it reflects minimal buying interest or bullish momentum, further confirming that DOGE is in a downtrend.

The Aroon metric is a technical indicator used to identify trends and the strength of those trends. It consists of two lines — Aroon Up and Aroon Down — that measure how many periods have passed since a recent high and low, respectively. When the Aroon Up is close to 100%, it means the asset has recently made a new high, signaling strong bullish momentum.

Read more: How To Buy Dogecoin (DOGE) and Everything You Need To Know

Conversely, when Aroon Down is near 100%, it indicates the asset has made a new low, signaling a strong bearish trend. The interplay of these two lines helps traders assess whether an asset is trending, in which direction, and the potential strength of that trend.

Historically, the Aroon chart for DOGE shows frequent shifts between upward and downward movements, but at present, the prevailing sentiment is bearish. Unless the Aroon Up begins to rise significantly, suggesting a new high, the outlook remains weak for DOGE in the near term.

Dogecoin CMF Just Turned Negative

The Chaikin Money Flow (CMF) indicator for Dogecoin (DOGE) is currently reading -0.06, which signals mild bearish momentum. The CMF fluctuates between -1 and 1, and a value near zero often indicates indecision or neutral momentum. However, the fact that it is slightly negative suggests that selling pressure outweighs buying pressure.

The Chaikin Money Flow measures the volume-weighted average of accumulation and distribution over a specific period, typically 20 or 21 periods. It helps traders identify whether the market is being accumulated (buying pressure) or distributed (selling pressure).

Positive CMF values indicate accumulation or buying pressure, while negative values indicate distribution or selling pressure. The closer the value is to 1 or -1, the stronger the trend. A reading near zero suggests a balance between buyers and sellers.

In recent weeks, the CMF has fluctuated above and below the zero line, indicating alternating periods of buying and selling dominance. The peaks above 0.20 in mid-August and again in late September suggest brief periods of stronger buying pressure.

However, the recent dip into negative territory, especially towards the end of the chart, confirms that selling pressure has started to regain control, though it’s not particularly strong at this moment.

DOGE Price Prediction: A Strong Correction Ahead?

Dogecoin’s (DOGE) short-term EMA lines are crossing below the long-term EMA lines, signaling a potential shift toward a bearish trend. This kind of crossover is often viewed as a warning that the market may be entering a more extended period of decline as short-term momentum weakens compared to the longer-term price average.

While the Chaikin Money Flow (CMF) indicator shows that the current downtrend isn’t particularly strong, the formation of a death cross in the EMA lines suggests that this selling pressure could intensify in the coming days.

Exponential Moving Averages (EMA) are trend-following indicators that place more weight on recent price data, making them quicker to respond to market changes. When shorter-term EMAs cross below longer-term EMAs, it often signals increasing bearish momentum, which could lead to further downside movement.

Read more: Dogecoin (DOGE) Price Prediction 2024/2025/2030

If the downtrend continues, DOGE price is likely to test support around the $0.097 level. Should this support fail to hold, the next key levels could be $0.088 and potentially even as low as $0.080.

However, if the trend reverses, DOGE could retest its resistance levels at $0.108 and $0.11. A break above these could pave the way for a rise toward the $0.13 mark.

Since falling from $160 on September 30, the Solana (SOL) price has continued to hit lower levels. Recent data suggests that the token might drop to a region it has not reached in almost a month. 

As of this writing, Solana’s price is $135.52. But with a grim outlook, here is why SOL could fail to notch a quick recovery.

Buying Solana Now Looks Risky

Data from crypto intelligence platform Messari shows that Solana’s Sharpe ratio has fallen. The Sharpe ratio measures a cryptocurrency’s potential risk-adjusted return. 

When it rises, it implies that the potential reward of investing in the asset could be worth the risk. But for Solana, the ratio has dropped to -1.11. Five days ago, this same metric had a reading of 2.57, which suggested a possible SOL price increase.

Currently, since the ratio is on the brink of falling into negative territory, it suggests that buying SOL at the current value might not bring a positive return on investment.

Read more: Solana ETF Explained: What It Is and How It Works

Beyond this metric above, the Chaikin Money Flow (CMF) is another indicator reinforcing the bearish thesis. The CMF considers the volume up or down at the end of a trading day. With this data, the indicator can tell whether the market is accumulating more of a token or distributing it.

When the CMF increases, accumulation takes place. On the other hand, a decline in the indicator’s reading suggests distribution. According to the daily SOL/USD chart, the CMF has dropped to the negative region, suggesting that sellers are dominant, and Solana’s price could evade a quick bounce.

SOL Price Prediction: No Rebound Yet

On September 30, Solana’s price was $158.53, with expectations high that October would produce more gains. But since then, SOL has lost almost 15% of its value and is currently priced at $135.52.

According to the daily chart, SOL could not hold the $142.21 support, so the token dropped below the threshold. Currently, the altcoin is about to hit the 23.6% Fibonacci retracement.

If this happens, Solana’s price might hit $130, possibly falling below the zone in the short term. Failure to hold the $130 support line could lead SOL down to $124.92. 

Read more: How to Buy Solana (SOL) and Everything You Need To Know

On the other hand, if bulls defend the $130 region, this prediction might not come to pass. Instead, SOL’s price could jump to $161.95.

Amid the general market decline, 97,602 traders have liquidated in the past 24 hours, with the combined liquidation value reaching $274.73 million. The leading coin, Bitcoin (BTC), has extended its decline, slipping by 1%, while its trading volume plummeted by 20% during the same period.

Interestingly, a key on-chain metric has flashed a buy signal, suggesting an opportunity for BTC contrarian traders. However, caution is advised, as the market still faces potential downside risks.

Bitcoin Flashes Buy Signal

Bitcoin’s market value to realized value (MVRV) ratio, which measures the overall profitability of all its holders, is the on-chain metric of interest here. As of this writing, the coin’s 30-day and 90-day MVRV ratios are -0.89 and -1.48, respectively. 

Generally, a negative MVRV indicates that the current market price is below the average price at which most investors acquired the asset. Therefore, if all holders were to sell their coins at the current market price, they would collectively realize a loss. 

However, the metric also offers some respite. Historically, negative MVRV ratios represent a buying signal. They indicate that the market is oversold, and a potential buying opportunity could exist. A negative MVRV shows that the asset is being traded below its historical acquisition cost and may be due for a rebound.

Read more: Top 7 Platforms To Earn Bitcoin Sign-Up Bonuses in 2024

Some traders are already heeding the buy signal and have begun to accumulate the leading coin. Recently, there has been an unprecedented surge in new whale activity, marking levels of involvement never seen before.

“ Look at how fiercely the new whales are stacking Bitcoin; this market has never seen such accumulation,” Ki Young Ju, CryptoQuant’s founder, said in a post on X. 

While this buy signal may encourage some traders to increase their BTC holdings, it’s important to note that the risk of further decline remains. The market’s buying pressure continues its downward trend, as reflected in BTC’s falling Relative Strength Index (RSI), which currently stands at 44.88.

The RSI is a key indicator of overbought or oversold market conditions. At its current level of 44.88, selling activity outweighs buying pressure among BTC holders.

BTC Price Prediction: Key Support Levels to Hold

Should selling pressure intensify, Bitcoin could approach the critical support level at $58,518. A failure by bulls to defend this price may trigger a further drop, with the next support target at $54,899.

Read more: Bitcoin (BTC) Price Prediction 2024/2025/2030

However, if market sentiment shifts from bearish to bullish, Bitcoin may reverse its trajectory, invalidating the bearish outlook. In this case, BTC could rally toward $64,367 in the near term.