By Victor Swaezy 
Dogecoin (DOGE) posted a sharp price surge that triggered a significant liquidation event, leaving short sellers scrambling. Data from CoinGlass shows that the liquidation imbalance spiked to an extraordinary 4,578% within a four-hour window, wiping out nearly $262,000 in short positions.
The move surprised much of the market, as sentiment had largely leaned bearish prior to the rally. DOGE’s price jumped more than 3% during the surge, forcing traders betting against the meme coin to rapidly exit their positions.
Bitcoin Rebound Lifts Dogecoin and Altcoins
The sudden upside in Dogecoin came alongside a broader market recovery led by Bitcoin (BTC). Bitcoin rebounded strongly, reclaiming the $89,000 level, which helped reignite risk appetite across the altcoin market.
Riding this renewed momentum, Dogecoin climbed from $0.1214 to an intraday high of $0.1273 within 24 hours. At the time of writing, DOGE is trading around $0.1263, reflecting a 3.78% daily gain.
Trading Volume Spikes as Retail Interest Grows
Supporting the price action, Dogecoin’s trading volume surged by 29.61% to approximately $1.24 billion. The sharp rise in activity points to increased participation from retail traders, who appear to be driving much of the short-term momentum as the broader crypto market stabilizes.
While short sellers bore the brunt of the losses, long position traders were not entirely spared. CoinGlass data shows that long liquidations totaled around $5,600 during the same four-hour period, though this figure was minimal compared to the damage inflicted on bearish positions.
Key Support Level and Technical Outlook
For Dogecoin to sustain its bullish momentum, analysts are closely watching the $0.1243 support level. Holding above this zone could allow the price to extend gains in the near term.
The combination of rising prices and increasing volume suggests that the market is currently absorbing selling pressure, reducing the likelihood of an immediate reversal.
However, some caution remains. The Relative Strength Index (RSI) sits at 43.7, leaving uncertainty over whether DOGE is approaching oversold conditions or still lacks strong bullish confirmation.
What Comes Next for Dogecoin?
Looking ahead, optimism is building among investors. If Dogecoin maintains strength and trading volume remains elevated, some market watchers see room for a potential 30% upside move, which could push the price toward the $0.16 level.
The continuation of the rally will likely depend on sustained retail participation and any renewed interest from institutional players. With volatility still defining the crypto market, traders are watching closely to see whether Dogecoin can build on its momentum—or if bears will regain control in the sessions ahead.