Dogecoin faces worst Q1 loss in 7 years with 46% drop

Dogecoin (CRYPTO:DOGE) is poised to close its first quarter with a 46% loss, marking its most bearish start to a year since 2018.

The meme cryptocurrency’s decline contrasts sharply with its performance in 2023 and 2024, when it gained nearly 10% and 147%, respectively.

Analysts are now debating whether Dogecoin could mirror its 2018 trajectory, which saw a 68.8% Q1 loss followed by a 138% rebound in Q3.

Market sentiment shifted abruptly in February, when Dogecoin’s price fell 38.5% after a modest 4% gain in January.

March added another 17.5% loss, erasing earlier optimism that 2025 would mark the peak of its bull run.

While some analysts draw parallels to 2018’s volatility, others caution against overreliance on historical patterns.

Technical indicators offer mixed signals.

Crypto analyst Ali Martinez noted that Dogecoin remains above the lower boundary of an ascending price channel, suggesting potential for a rally toward $4 (mid-range) or $7 (upper range) if demand spikes.

However, the cryptocurrency’s failure to break key resistance levels has fueled concerns about further downside.

Analysts like Trader Tardigrade and Mater Kenobi point to similarities with September 2024’s price action, arguing that Dogecoin might have found a bottom.

They speculate a bullish reversal could emerge if historical fractals repeat, though this remains speculative.

The 2018 comparison raises questions about whether Dogecoin will follow a similar path.

If so, a Q2 loss could precede a Q3 rebound, potentially erasing this quarter’s losses.

However, the meme coin’s reliance on external factors—such as Elon Musk’s endorsements and broader market trends—adds uncertainty.

At the time of reporting, the Dogecoin (DOGE) price was $0.1701.