Lyme disease can develop from tick bites, and identifying the rash helps ensure early treatment. The rash caused by Lyme disease appears in stages. The first stage will often have a bite mark in the center of a red ring, commonly referred to as a bullseye rash. At this stage, the area will be smooth but warm and may itch or hurt. A crust may appear at the edges.
Stage two begins as the disease develops, and circular rashes may appear on other parts of the body away from the bite, indicating the infection is spreading.
Stage three is advanced Lyme disease. The skin may shrink or become tight. Hair falls out, and deep lines can form across the surface of the skin. At this stage, some people develop tumors, and the disease affects the heart and nervous system. Advanced Lyme disease is dangerous, which is why identifying the early rash is essential.

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