Dogwifhat (WIF) emerged as one of the standout tokens in the recent meme token rally. Despite this bullish run, the meme token’s price significantly dropped last week, raising questions about the reliability of its rise. In the last 24 hours, WIF witnessed a substantial increase of 13.70%. The meme token successfully breached the resistance level of $3.5029 and is trading at $3.7841 at the time of writing.
WIF’s Potential Retest Zone
If the bullish momentum around WIF continues to grow, it could retest the previously attained level of $4.857. The token’s Relative Strength Index (RSI) was at 56.40 when the article was written, indicating that the price movement could be relatively balanced. Additionally, the CMF shifted from -0.2 to -0.03, showing growth.
Even though the CMF remains negative, it could indicate that the sentiment of selling has become less pronounced. This could mean that the selling pressure on WIF is weakening, potentially signaling a move towards stability or more balanced market conditions. Social activities will also play a significant role in determining the future price of WIF.
WIF in Analytical Reports
According to data from the cryptocurrency analytics firm Santiment, there has been a significant drop in the token’s social volume. This suggests that WIF’s popularity on social media platforms is waning. Moreover, the shift to a positive sentiment in the weighted sentiment indicator suggests that positive comments are beginning to outnumber negative ones.
Furthermore, cryptocurrency analysts have noted that as of the time of writing, approximately $970,000 worth of liquidations occurred. Bears faced the brunt of this movement, incurring a loss of $592,780. Despite the liquidations, bears remain skeptical of WIF’s price action. Analysis based on Coinglass data revealed that the percentage of short positions against WIF stood at 51.6%.
