Dogecoin open interest has taken a hit in the last 24 hours as the markets hint at a slowdown heading into the Christmas holidays.
Open interest indicates the total number of outstanding futures or options contracts on the markets and might suggest traders' participation.
According to CoinGlass data, Dogecoin open interest in the last 24 hours came to $1.51 billion, which translates to 11,796,875,000 DOGE. Although this figure remains significant, it represents a 4.03% drop in open interest.
This comes as the broader crypto market largely traded in red as investors hint at risk-off sentiment ahead of the holidays. Major cryptocurrencies, including Dogecoin, slipped on Wednesday as the total crypto market value fell below $3 trillion to $2.94 trillion after another failed attempt to sustain a rebound.
At press time, Dogecoin was trading down 1.22% in the last 24 hours to $0.127 and down 2.06% weekly.
Dogecoin prepares for next move
Following Dec. 19's sharp surge, which culminated in a high of $0.134, Dogecoin has resorted to trading in a range.
The dog coin currently trades in a range between $0.126 and $0.135. Range trading, or consolidation if sustained for a while, sets the stage for the next move, either up or down.
In the days ahead, Dogecoin's price action will be monitored to see where the current indecision between the bulls and bears leads.
On the broader markets, investors are assessing the latest Commerce Department data that showed the U.S. economy grew by 4.3% in the third quarter, which is its fastest pace in two years, with stronger-than-expected numbers potentially complicating the Federal Reserve’s path on interest rates.
The majority of investors now expect rates to remain on hold until April, at which point the Fed might resume its reductions.
Dogecoin's next resistance targets lie at $0.148 and $0.196, while support is expected in the $0.11 range.
