The Dogecoin price is facing renewed pressure as market observers warn that the meme coin may not be out of the woods yet. A crypto analyst warns that unless Dogecoin meets certain key conditions, its continued weakness could trigger another price crash, further extending the bearish trend.
Dogecoin price may extend the downtrend
Like many meme coins, Dogecoin is going through a major recession after failing to break through key resistance levels. This continued rejection has kept the selling pressure intact and prevented the DOGE price from building sustained upward momentum. As a result, Dogecoin’s bearish structure, which has been in place for months, shows little sign of easing. Taurus also face major roadblocksleaving Dogecoin vulnerable to further declines as long as it trades below key levels.
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According to crypto market expert KrissPax: Dogecoin remains weak and could continue the already intense downtrend if the price does not recover. He explained that without solid bullish catalyst to drive the price upthe meme coin could experience another price crash.
KrisPax presented a TradingView chart showing how far he thinks Dogecoin could fall if it fails to regain market interest and demand. First, the chart highlights a descending channel pattern in a higher time frame that began after the broader market flash crash on October 102025. At the time, Dogecoin saw one of its biggest price crashes in a single day, going from above $0.26 to below $0.10 before quickly recovering.
After that steep drop, Dogecoin’s price remained stuck the descending channelwhere the overall structure reflects a bearish trend. Normally, a descending channel pattern promotes more downward pressure unless a decisive breakout occurs. So far, Dogecoin has made a number of recovery attempts; however, the price has failed to support a bullish rally.
Recent price action, as shown in the chart, also indicates consolidation near the lower to middle part of the channel, with a gradual base forming around $0.12-$0.14. For now, a clear break below the channel’s lower trendline would confirm the continuation of Dogecoin’s long-term downtrend. On the other hand, a breakout above the upper trendline of the descending channel with volume confirmation could be invalid DOGE’s bearish structure and identify a potential trend change.
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Update on Dogecoin’s current price action
According to CoinMarketCap data, Dogecoin is still in negative territory at the time of writing, with a price correction of more than 3% over the last 24 hours. Data shows that the meme coin’s daily, weekly and monthly price performance is in a pronounced slump. If this trend continues, Dogecoin could end January in the red and extend it the downward trend that marked the end of 2025.
Aside from the weak price action, Dogecoin’s total market capitalization has also decreased by more than 3%. Daily trading volume remains subdued, down more than 2.5%, further underscoring declining investor confidence and reduced interest in the meme coin.
Featured image created with Dall.E, chart from Tradingview.com