The cryptocurrency market has been experiencing a broad sell-off, and Dogecoin has not been immune, with its price recently falling to a three-month low of $0.20. Despite a slight recovery in price, there are concerns that the decline is not over yet. According to a cryptocurrency analyst named David_Perk on TradingView, Dogecoin is still in a strong downtrend, and indicators show that the meme coin will fall further to $0.15.

Dogecoin price weakness and risk of further decline

The recent price crash of Dogecoin has undoubtedly dealt a heavy blow to bullish investors. Although it subsequently rebounded at the $0.2 level and seemed to have temporarily gained a foothold at this support level, technical analysis reveals that the price is still at risk of further decline.

David_Perk, a well-known analyst in the cryptocurrency space, shared his professional insights through the 12-hour Dogecoin candlestick chart on the TradingView platform. David_Perk pointed out that despite the brief respite in the market, DOGE is still in a clear downtrend and has not yet shown any significant bullish reversal signals. Price dynamics continue to reflect selling pressure in the market, indicating that investor sentiment remains bearish.

Furthermore, David_Perk’s analysis highlights that DOGE is in a strong descending channel and is gradually approaching a key daily trendline. This descending channel has been formed since the beginning of the year, highlighting the persistence and stability of the market’s downward trend.

The loss of multiple support levels further reinforces the argument that Dogecoin could fall again. Fibonacci retracement levels and historical price data reinforce this bearish outlook, with analysts predicting that Dogecoin will fall at least 30% from current levels.

Will it really fall further to $0.15?

The analyst predicted based on historical data and Fibonacci levels that Dogecoin may continue to fall until it bottoms out at $0.15. This prediction is remarkable because the recent decline has already wiped out most of the gains accumulated by Dogecoin holders since October 2024. If Dogecoin really falls to $0.15, it would mean that the rally that started at the end of last year has been almost completely wiped out, especially compared to the multi-year highs set in December last year, the decline would be a staggering 68%.

As of writing, Dogecoin is trading at $0.21, and despite a gain of about 4.5% over the past 24 hours, it is still down 16.5% over the past week, showing increased market volatility.

To prevent Dogecoin from further falling to $0.15, the key lies in whether the bulls can successfully defend the $0.20 support level and further break through the key resistance of $0.25. If the bulls fail to break through $0.25, Dogecoin may fall into a downward channel and face the risk of setting lower lows, and may even fall below the $0.20 support level, exacerbating market concerns.