Despite maintaining its position as the leading meme coin in the market, Dogecoin was hit hard in the market downturn. It failed to reach new highs during 2024-2025 and fell sharply with sales growth. Even now, the bleeding doesn’t seem to have stopped, and crypto analyst MyCryptoParadise is warning investors that the recent recovery could be a fluke.
Why the return of Dogecoin may be temporary
The analysis focuses on Dogecoin’s recovery and failure from any significant levels. Instead, the crypto analyst explains that the meme coin is actually still respecting the downward trend of the resistance. This failure to rupture indicates that DOGE is still experiencing significant structural weakness.
Another important thing to note is that the price is still holding within the 1-hour supply zone, as well as the order block and the Fair Value (FVG) zone. This means that the probability of Dogecoin price going down is still higher than the probability of a stable recovery.
This also extends to the volume spread, where a plateau has formed in the buying action. This trend, the crypto analyst notes, indicates that there is a distribution for DOGE. Thus, it appears that the big players are using these spikes to actually sell their stocks. This means that a recovery is unlikely, as the price will only enter more dumping.
DOGE price weakness mapping
In addition to the points mentioned above, MyCryptoParadise also shows a confirmation of key weakness found on the Dogecoin chart. This was the proof that the meme coin was still below the top line of the bullish trigger. In such a case, it indicates that the supply is so strong that the demand cannot fully absorb it.
If this weakness persists, then recovery may be stopped in its tracks. The first support for the move down will be at $0.09, where buyers will find an opportunity to take a position. However, a break below this level would lead to a move to $0.08030.
However, there is still a chance that the bulls will regain their strength, and the analyst says that this can only happen if the price of Dogecoin can break above the resistance at $0.10875. In order to completely invalidate the bear scenario, this break must be completed with a strong momentum, which will lead to a continuation of the uptrend.
Featured image from Dall.E, chart from TradingView.com
Editing process because bitcoinist is committed to delivering thoroughly researched, accurate and unbiased content. We adhere to strict sourcing standards and every page is rigorously reviewed by a team of top technology experts and experienced editors. This process ensures the integrity, relevance and value of our content to our readers.
