Dogecoin is sinking again—down over 4% to $0.163 on March 31—as technical signals flash red and the memecoin hype cycle hits a wall. The chart isn’t helping, but neither is Elon Musk.
Musk Dismisses Government DOGE Tie-In
At a town hall in Wisconsin over the weekend, Musk shut down speculation that the U.S. government might use Dogecoin, despite his leadership role in the Department of Government Efficiency (D.O.G.E.). “There are no plans for the government to use Dogecoin or anything,” he said.
That simple line was enough to deflate rumors of official adoption—rumors that had helped drive DOGE’s rally in early 2025. Traders hoping for a meme-fueled policy twist now find themselves back in reality.
Bear Flag Breakdown Points to Deeper Slide for Dogecoin
Technically, Dogecoin is flashing a textbook bearish continuation. After breaking below the lower trendline of a bear flag at $0.1773, the token is now testing support at $0.160. Analysts say if that fails, the next downside targets are $0.1427 and $0.1275—lows not seen since October.
The pattern’s full breakdown could take DOGE as low as $0.0876, representing a 42% slide from current levels.
RSI readings back that view, falling from 52 to 38 over the past five days. “A daily close below $0.1283 would confirm further downside to $0.0850,” said crypto analyst Andrew Griffiths.
Entire Memecoin Sector Feels the Pressure
It’s not just DOGE. The entire memecoin space is under pressure. Shiba Inu is down over 4%, PEPE has slipped nearly 2%, and Solana-based Fartcoin lost 8% in the last 24 hours. Overall trading volume across memecoins has dropped 48% in the past month.
Macro Sentiment Weighs on Risk Assets
Wider market nerves tied to President Trump’s upcoming tariff announcement are driving traders out of high-volatility bets. Memecoins usually act as sentiment barometers, and their current slide reflects the broader shift toward caution.
At the time of writing, Dogecoin is sitting at $0.1671.
