Dogecoin Collapse? Analyst predicts a decline to $0.12 before recovery

Analyst Paul (@Zig_ZagTrades)'s recently released Dogecoin (DOGE) chart shows that the meme-based popular cryptocurrency could slide as low as $0.12 in the final correction period before attempting a significant recovery. The 1-day chart, shared on X, outlines the textbook Elliott Wave structure that Paul interprets as a larger (A)–(B)–(C) correction, culminating in a potential Wave 2 near the $0.12–0.15 zone. Will Dogecoin continue to drop in price in the near future? In Paul's analysis, Dogecoin has been tracking a decline of five sub-waves since reaching the prominent peak labeled as Wave 1 on his chart. This peak coincided with a multi-day bull run that lost momentum and reversed lower, resulting in a series of smaller waves marked as 1, 2, 3, 4, and now 5. The analyst pointed out that this fifth and final sub-wave is likely to end a wider C wave (hoặc the second wave if calculated at the hơn) high level. Paul's symbols highlight a "GZ" (một "Golden Zone" that is often used by traders to identify Fibonacci) support clusters, and his signs identify Fibonacci ratios that can identify the short-term floor of DOGE.

The chart shows a group of key retracement levels extending from $0.16 down to a range between $0.11. Paul highlights Fibonacci levels at 61.8% around $0.160257 and $0.150508, along with deeper retracements at 78.6% near $0.118726 and a 100% forecast around $0.126709. These digital regions seem to surround the "GZ" that Paul believes DOGE can complete its final subwave. According to the chart, the $0.12–$0.15 pocket stands out as the most important price zone for bulls looking to stop the ongoing downtrend. The path from the current price zone towards this lower target is labeled with a number of sub-waves indicating a final push below the previous low. The candlestick patterns on the chart confirm a series of lower highs and lower lows in recent weeks, an indication that the bearish momentum remains intact. The volume bars on the lower side suggest stable semi-pressure accompanied by bearish impulses, in line with the view that DOGE may still be producing the final stage of the correction. Paul's use of the Ichimoku Cloud setups shows that the price has been consistently trading below the cloud since the end of January, suggesting that DOGE has yet to reset any bullish momentum. The green cloud area shaded on his chart appears to have acted as a dynamic resistance, reinforcing the view that the market is still in a corrective position for several weeks. The analyst's labeling of waves beyond the supposed bottom, marked as (1) to (5), indicates the expectation of a final bullish cycle if and when the coin finds support in the "GZ" zone. While the chart predicts a further rally from the expected low, there is no guarantee that DOGE will certainly hold the $0.12–$0.15 range. Failure to do so would theoretically widen and weaken the number of bullish waves, but Paul's note implies that he considers the current bearish rally to be the final sell-off. In his words, "DOGE 1D: Subwave drop 5 constitutes the end of wave C/2 in GZ for DOGE" indicates expectations for a local bottom in this area, although the general direction of the market will depend on whether there are enough buyers participating in those Fibonacci levels.