Dogecoin Price Rebounds as Shiba Inu Gains Strength

Dogecoin has rebounded after successfully defending its key support zone near $0.071, as indicated by derivatives data and momentum indicators. The memecoin's price has bounced from this support while attempting to break above a descending trendline that has capped every recovery since late June.

The Relative Strength Index (RSI) has climbed to around 45, recovering from oversold territory and pointing to improving buying momentum. However, the indicator remains below the neutral 50 mark, suggesting bulls still need stronger follow-through to confirm a sustained trend reversal.

A significant concentration of short liquidations is positioned between $0.075 and $0.081, well above DOGE's current trading range, indicating potential fuel for an upside move if Dogecoin breaks above the immediate resistance near $0.074. Such a chain reaction, commonly known as a short squeeze, could amplify bullish momentum and drive prices higher over a short period.