Dogecoin Down 10% On The Week: Is The Musk-Trump Spat Bearish For DOGE?

Dogecoin DOGE/USD continues to slide, down over 10% on the week, coinciding with escalating tensions between https://www.benzinga.com/markets/market-summary/25/06/45809203/investors-pay-the-price-as-musk-trump-war-of-words-escalates-once-allies-now-foes-their-linked-stocks-crypto-and-funds-wipe-out-155-billion-in-a-single-day.

What Happened: Prominent crypto analyst Kevin noted in an update in his exclusive Patreon group that Dogecoin has now retraced to the 0.382 Fibonacci level after breaking below the critical 0.5 support, a move that aligns with oversold daily indicators.

While DOGE and other altcoins show early signs of attempting to reverse bearish momentum on the 4-hour and daily charts, Kevin cautions that significant resistance levels remain overhead.

"I'm fully positioned from lower levels," he noted, adding that he sees no need to add exposure until there’s clearer direction from Bitcoin, which remains stuck in a choppy, undecided range.

He urges caution going into Friday, as the current risk-reward setup doesn't justify aggressive moves.

Also Read: Dogecoin’s Chart Screams Caution As Bulls Get Rejected Again

Why It Matters: DOGE's sharp decline comes amid the Musk-Trump fallout, sparked by Musk's strong criticism of Trump's "big beautiful bill," which he called a “debt slavery bill.” The political spat has rippled into the crypto markets, adding fuel to DOGE's volatility.

Coinbase Assets has launched cbDOGE and cbXRP on Base, with each ERC-20 token backed 1:1 by DOGE and XRP held in Coinbase custody.

The move expands DOGE’s utility in DeFi but comes at a time of high market uncertainty.

Coinglass data shows Dogecoin's liquidations in the past 24 hours stood at $27.98 million, with long liquidations of $22.88 million, implying traders' expectations of bullish momentum in the future.

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• Bitcoin, Ethereum, XRP, Dogecoin Extend Losses After Trump-Musk Fallout

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