A monthly chart of Dogecoin shows a brutal pattern of repeated declines and cascading declines that looks grim at first glance.
Crypto analyst Trader Tardigrade explained one decade-long structure that has seen the Dogecoin price hit critical resistance three times, triggering a massive plunge on each occasion. The 2026 rejection is now in effect and the analyst sees a third repeat of the same devastating sequence. However, the graph has a twist that changes everything.
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Dogecoin is hammered on an inverted monthly chart
Trader Tardigrade’s chart shows DOGE/USD on a monthly basis, but the price scale is reversed. This means that the lower the chart moves, the higher Dogecoin moves in the normal market price. The red descending line is indicated as a critical resistance is therefore not a bearish ceiling in the usual sense. It is a resistance line on an inverted chart, and a rejection of it sends the price down.
As can be seen from the chart, Dogecoin was unable to break through and was immediately sent back below the level. However, since this is reversed, it essentially means that Dogecoin is bouncing on a supportive trendline. A decline on the inverse scale would translate into an increase in the real price of DOGE.
The analyst pointed out three key moments where Dogecoin hit this reverse resistance and failed to break through. The first came around the 2017 cycle, the second around the 2021 cycle, and the third is presented as the current setup for 2026. In each previous case, the rejection was followed by a large downward move on the reverse chart, meaning a large gather upwards the normal Dogecoin chart.
Dogecoin price chart. Source: @TATrader_Alan On X
What’s next for Dogecoin?
“This decline is coming,” the analyst said. However, the drop being referenced is not a normal Dogecoin price crash. It is a decline on the inverted chart. Normally this means that the Dogecoin price would increase. In fact, the projection on the chart points to double-digit price levels if the historical declines on the inverted chart repeat.
That target is extreme compared to Dogecoin’s current price around $0.108. A move to $1 would require DOGE to rise more than 825% from current levels, while a move to $10 would require a rally of more than 9,000%. However, the projection on the chart shows that the Dogecoin price could reach $23. This is why the graph should be read as a long-term setup.
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Speaking of price action, Dogecoin actually shows it signs of a revival support. DOGE reached a high of $0.11 in the last 24 hours, and is currently up about 10% in a seven-day span. The future of Dogecoin is interesting Open interest is exploding and is now at the highest level of the year.
Featured image from Pexels, chart from TradingView