Dogecoin Crashes 18% Below Key Support Level

Dogecoin, a popular meme coin, has experienced a significant price crash, breaking below the crucial $0.18 support level. This decline has triggered concerns about further drops in the crypto market. A crypto analyst, Master Ananda, had previously predicted this market downturn, highlighting the potential for a pullback despite the positive sentiment in the market at the time.

Master Ananda's analysis, posted on TradingView, indicated that while the Dogecoin price was still trading near the $0.2 level, the market was showing signs of bearishness on the short-term timeframe. The analyst pointed out that the meme coin had been forming lower highs since December 2024, suggesting a building bearish trend. This prediction has so far played out as the Dogecoin price has continued to decline, dropping below the $0.18 support level.

According to Master Ananda, the current correction in the Dogecoin price is expected to bottom above the April 7 lows, which were above $0.13. This would place the meme coin at around $0.15 before the bottom is reached, after which a recovery is anticipated. The analyst advises investors holding spot bags to wait for the market to stabilize before making any moves. For traders going short, caution is advised, as the range is short and the market could quickly recover.

Master Ananda also noted that there is a possibility of a higher low compared to the April 7 lows. However, if there are too many leveraged positions open, the market could experience a long wick that pierces support, leading to a recovery the next day. This highlights the volatility and unpredictability of the crypto market, even for well-analyzed trends.

Despite the current bearish trend, Master Ananda's long-term outlook for Dogecoin remains bullish. The analyst's predictions have so far been accurate, and the meme coin's market trend seems to be following the forecasted path. Investors and traders are advised to stay vigilant and make informed decisions based on the latest market developments and expert analysis.