Dogecoin Support Level Tested Amid Aggressive Short Positions

Dogecoin is facing a critical test of its $0.07 support level as aggressive short positions have driven selling pressure.

A notable 40x short position has added to the selling pressure, but despite this, bullish traders remain active, with the long/short ratio reaching a multi-month high and memecoin trading volume rising 22%, indicating strong risk appetite.

Historically, similar setups have led to sharp rebounds, suggesting that the current pressure could trigger a bear trap and a potential short squeeze. If market sentiment shifts positively, DOGE could rally toward $0.075 in the near term.