Dogecoin Price Prediction as DOGE ETF Inflows Hit New Highs

Dogecoin Price Prediction: DOGE ETF Flows Hit New Weekly High

Despite stronger demand for U.S.-listed Dogecoin exchange-traded funds (ETFs), Dogecoin (DOGE) is under renewed selling pressure. A mixed market environment has been created by the dichotomy between a soft spot market and ETF inflows, with traders watching to see if institutional demand can hold DOGE at key technical levels.

New data shows Dogecoin ETFs saw $2.89 million in net inflows during the week of September 21-25, the best weekly inflow period for the products since their inception.

Dogecoin ETFs Attract $2.89 Million Inflows This Week

SoSoValue data showed Dogecoin ETFs received $2.89 million in weekly inflows between September 21 and September 25. The bulk of the demand was for Grayscale’s Dogecoin Trust, which saw about $3.48 million in inflows.

However, the 21Shares Dogecoin ETF went the other way, with outflows of around $593,000. Meanwhile, the Bitwise Dogecoin ETF experienced no fresh inflows as the product readies for its planned closing on Oct. 14.

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Independent tracking of ETF flows also suggests that Grayscale’s product has been the main beneficiary of recent inflows, while 21Shares suffered an outflow of $593,000 on Sept. 21.

DOGE Price Climbs But Pulls Back From $0.10

The surge in ETF demand coincided with a sharp recovery of DOGE. The cryptocurrency jumped from around $0.087 on September 21 and briefly crossed the $0.10 level before falling back to around $0.097.

DOGE had earlier hit around $0.105 in the September 21 rally, with ETF inflows and broader market strength behind the move.

But ETF demand has not stopped short-term selling. Recent price action indicates that traders are still split on DOGE’s ability to hold the psychologically important $0.10 level.# Short Sellers Turn the Screw on Dogecoin

The derivatives market is another bearish factor for the near-term DOGE outlook. As per data from CoinGlass, the Dogecoin long/short ratio has been below 1 since September 19, showing that there have been more short positions than long positions in that span of time.

That ratio was said to have fallen to 0.87, implying that short positioning had increased relative to long positioning. Some derivatives traders are betting on another DOGE fall.

But heavy short positioning also increases the risk of liquidation. If DOGE were to surprise on the upside, short sellers could be forced to cover, potentially adding to buying pressure.## Technical Analysis of Dogecoin Price

DOGE 4-hour chart shows signs of weakening momentum. The technical data provided do show that the RSI line moved below its signal line giving a bearish signal.

DOGE has also dropped below the bottom trendline of an ascending channel, signaling that the former upward structure is losing power.

If the selling pressure continues, $0.092 is a major downside support level to watch. A downside break of this region could suggest more weakness.

Dogecoin Price Prediction: Key Levels to Watch

At the moment Dogecoin is sending out mixed signals overall. Record weekly ETF inflows point to higher investment demand, while weakening technical momentum and elevated short positioning point to near-term selling pressure. Hence ETF flows are still an important factor, but aren’t the sole driver of DOGE’s short-term price direction.