Dogwifhat Futures Open Interest Surges 16% as Reversal Pattern Emerges

The open interest (OI) in Dogwifhat futures has spiked, signaling increased trading activity among futures traders.

Dogwifhat, a Solana-based meme-coin, has been trading below $1.90 since August 25, and analysts have now spotted a potential reversal pattern forming.

According to CoinGlass data, Dogwifhat's open interest has increased by 16% to $231.48 million since August 31. This indicates that futures traders are ramping up their positions in the asset, potentially anticipating a price reversal.

Coinciding with the surge in open interest, the price of Dogwifhat (WIF) has dropped 17% since August 25, trading at $1.57 at the time of writing.

The asset has remained below the $1.90 mark for a 10-day period, according to CoinMarketCap data.

Some traders believe that the price is due for a rebound back up to $2.40, a level it hasn't reached since July 30.

Pseudonymous crypto analyst Bluntz wrote in a September 3 post on X that the asset is experiencing a "perfect channel retest" and that "nobody is ready for the V reversal that's about to happen."

Dogwifhat has seen a significant increase in trading volume recently. On September 4, the asset recorded a total trading volume of $327.6 million, which is approximately double the volume of Shiba Inu (SHIB), the second-largest meme-coin by market capitalization, which saw $160.5 million in the same 24-hour period.

Pseudonymous crypto trader zer0 also noted on September 4 that Dogwifhat "looks ready for its next leg up," further fueling the possibility of a price reversal.