Moodeng price falls 5% to six-week low as traders unwind long positions

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Moodeng price falls 5% to six-week low

Highlights

-Moodeng down 5% this week, breaking to a six-week low at $0.147

-Daily RSI drops to 40, and open interest falls, showing bearish momentum

-Support sits in the order block range, where dip buyers may re-enter if Bitcoin stabilises

The significance of this break lies in its impact on technical momentum. Moodeng’s daily Relative Strength Index dropped to the 40 level, marking the lowest bearish reading since June. This shift in momentum indicates that downside pressure has grown more pronounced and raises questions about whether sellers have reached exhaustion or if further downside could unfold. The RSI also reflects weakening sentiment that aligns with broader crypto market behaviour, given Bitcoin’s similar path lower this week.

Moodeng price dynamics (July - August 2025). Source: Tradingview

The decline in Moodeng’s open interest, alongside the price drop, suggests that traders are closing positions rather than building new ones. This dynamic points toward long liquidation and profit-taking rather than aggressive new short entries. In such cases, the decline is better interpreted as a phase of deleveraging rather than the start of a prolonged bearish trend. On-chain data supports this view, showing aggregated long liquidations of nearly $110,000, which, while significant, were less than the liquidations recorded on Monday and mid-last week. This shows that while long positions are still being forced out, the pressure has moderated compared to earlier in the selloff.

Moodeng order block zone between $0.148 and $0.134 key to dip buying

Attention now turns to key technical levels. The bullish order block that begins at $0.148, just above the recent low, could serve as a base for support. However, the range of this block extends down to $0.1338, which means there is still room for further downside before dip buyers are likely to re-enter the market in force. How price interacts within this range will be decisive in determining whether Moodeng stabilises or continues to extend losses.

The broader picture suggests Moodeng is locked in a corrective phase that reflects deleveraging across the crypto market. The tight correlation with Bitcoin highlights that sentiment on the memecoin will continue to be shaped by the direction of the flagship cryptocurrency. If Bitcoin finds stability, Moodeng memecoin could attract dip buyers near the lower end of its order block range, setting the stage for potential recovery.

Moodeng clawed back 2.6% today after Thursday’s 17% crash wiped out two weeks of gains. The rebound lacked conviction, as the long/short ratio and open interest dropped.

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