Despite Slight Recovery, Dogecoin (DOGE) Price Weakness Could Lead to a Crash to $0.15

The cryptocurrency market has been reeling from a broader sell-off, and Dogecoin has not been spared, with its price recently dropping to a three-month low of $0.20.

Cryptocurrency analyst David_Perk has warned that Dogecoin (CRYPTO: DOGE) is still in a strong downtrend, and indicators are now suggesting that the meme coin could be headed for further losses that could see it crash to $0.15.

What Happened: Dogecoin has been largely struggling in recent months, with its price recently dropping to a three-month low of $0.20. While there has been a slight recovery, concerns remain that the decline is not over yet.

Perk, who shared his outlook on TradingView using the 12-hour Dogecoin candlestick chart, said that the meme coin is still in a firm downtrend. According to the analysis, there are no clear signs of a bullish reversal at this stage, with price action continuing to reflect selling pressure.

Perk's analysis suggests that DOGE is currently positioned within a strong descending channel and is approaching a critical daily trendline. Notably, this descending channel has been in formation since the beginning of this year.

The loss of multiple support levels further strengthens the argument that Dogecoin could be headed for another leg downward. Fibonacci retracement levels and historical price data reinforce this bearish outlook, with the analyst predicting a minimum 30% drop from the current levels.

Dogecoin Price Action: Dogecoin is trading at $0.21 at the time of writing, up about 4.5% over the past 24 hours, but still down 16.5% over a seven-day period.