Dogecoin (DOGE) has reached a structural milestone, entering its deepest historical discount zone on record. According to crypto analyst Joao Wedson, the memecoin has now accumulated over 1,100 historical trading days where its price was higher than the current level. This marks the highest value ever recorded for the "Number of Days Spent at a Profit" metric, a cycle-level indicator that reflects long-term market positioning rather than short-term volatility.
The metric tracks how many historical days were traded above the current price, showing how long the market previously valued DOGE higher than today. A reading above 1,100 days signals that a significant portion of DOGE's market history sits above the current price zone, indicating the asset is trading deep within its historical range. This is not a short-term momentum signal but reflects aggregate positioning over years of trading activity.
Despite a modest 2.81% gain in the past 24 hours, DOGE has declined for seven consecutive weeks, losing approximately 39% of its value during that period. The asset, with a market capitalization of roughly $21 billion, faces sustained selling pressure, but downside momentum has begun to slow.
On-chain and technical indicators suggest a potential transition into a base-building phase. The Accumulation/Distribution (A/D) indicator shows DOGE trading in an accumulation zone, with cumulative volume exceeding 203 billion units and the A/D line trending higher, reflecting gradual buying pressure. The Money Flow Index (MFI) remains above the neutral 50 threshold and is sloping upward, signaling that capital inflows outweigh outflows.
Derivatives data adds to the analysis, with Binance liquidation heatmaps showing significant liquidity clusters above DOGE's current price. This positioning increases the probability of a near-term upward move as price gravitates toward those levels, potentially targeting the $0.10 psychological and technical resistance.
While this historical discount does not confirm an immediate reversal or a definitive bottom, it defines the environment as a late-stage compression phase. Historically, such extreme readings in long-term positioning metrics tend to occur during deep corrective phases and often precede structural recovery. Whether this develops into stabilization or extends further will depend on broader liquidity and demand dynamics.
