Dogecoin Price Drops Amid Fed Decision and Derivatives Liquidations

Dogecoin's price has taken a hit following the Federal Reserve's decision to maintain current interest rates, sparking fears among investors.

The move has triggered $5.49 million in derivatives liquidations, with 93% of wiped positions being longs, according to CoinGlass data. This is a clear indication that retail and leveraged traders are unwinding their bullish bets under macro pressure.

European and DACH investors are particularly affected by the Fed's decision, as higher U.S. rates strengthen the dollar and reduce risk appetite for volatile assets like Dogecoin.

The technical breakdown of Dogecoin's charts suggests that it is in a medium-term bearish structure, with key support tests at $0.0879 and $0.0800. To recover, Dogecoin needs to close above its declining 50-day EMA at $0.1016.

Whale activity remains muted, but the focus is on derivatives pain rather than directional accumulation. On-chain signals indicate that deleveraging is underway, which could lead to further downward pressure on the cryptocurrency.