The Dogecoin (DOGE) price is down more than 46% this year, according to CMC data, driven by selling pressures and a general weakness in the meme coin sector. Notably, a crypto analyst has warned investors about the potential downside to holding Dogecoin in this current risk-off market. He notes that the broader financial markets are also under serious pressure amid persistent geopolitical tensions and rising energy costs.
Why Dogecoin Is A “Weak” Altcoin Now
Crypto market expert @ColinTCrypto has taken to X to share his bearish forecast for the DOGE price and why he believes the meme coin can still crash. In his post, the analyst described Dogecoin as a weak altcoin and warned that investors should not hold it right now.
The analyst shared a chart showing Dogecoin trading at around $0.09. The chart traces the meme coin’s price movement from its 2021 peak to the present. After its explosive surge during the last bull market, DOGE mostly traded sideways, with occasional short-lived rallies, while the overall trend remained volatile and in a gradual decline.
@ColinTCrypto has noted that this downward trend has culminated in the formation of the white triangle on the chart. He stated that Dogecoin has already fallen to its first critical support zone around $0.09. The analyst noted that the meme coin is showing strong signs of breaking down further, potentially hitting new lows.
Based on the downward trajectory of the white arrow on the chart, @ColinTCrypto predicts that Dogecoin could experience a major price correction to $0.073. At the time of writing, the meme coin is trading at $0.09, holding onto this support firmly, as a breakdown could confirm the analyst’s bearish outlook. Although market dynamics remain volatile, it’s still uncertain whether Dogecoin could crash toward $0.073. However, if it does, DOGE’s value would decline by almost 20%.
Notably, @ColinTCrypto stated that most major altcoins in the market are showing similarly bearish positions. He highlighted that they are on the verge of further breakdowns as broader market sentiment remains weak. The analyst also attributes the current bearishness to a risk-off environment, meaning investors are actively avoiding risky bets and favoring safer options amid persistent geopolitical tensions and market uncertainty.
Analysts Share Similar Bearish Sentiments
Other analysts are also watching Dogecoin’s price movements and raising concerns about a potential crash in the near future. Market expert Osemka on X stated that there is no more room left for altcoins to run, indicating that Dogecoin and other meme coins could soon break downwards.
The analyst noted in an earlier post that Dogecoin has been “getting slammed” by the Exponential Moving Average (EMA) for the past three weeks, reinforcing his bearish outlook that the cryptocurrency is on the verge of another decline.
Featured image from Peakpx, chart from Tradingview.com
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