Nov 20, 2024
6thTrade
The meme-inspired cryptocurrency Dogwifhat ($WIF) may be on the brink of another price rally after soaring over 20% in the past week. A prominent technical indicator, the TD Sequential, is now flashing a buy signal, suggesting that the upward momentum could continue amid a broader cryptocurrency market recovery.
Key Technical Signal: TD Sequential
Cryptocurrency analyst Ali Martinez shared on the platform X (formerly Twitter) that the TD Sequential indicator has been highly accurate in predicting WIF’s price movements. On the four-hour chart, the indicator has now generated a buy signal, indicating the potential for a price increase to the $3.8 mark, up from its current $3.5 level.
The TD Sequential, developed by Tom Demark, identifies trend exhaustion and potential reversal points. It works by counting a series of price bars and comparing their closing values to earlier bars. A buy signal typically appears after a countdown of 9 bars, where each bar closes lower than the bar four periods prior. This pattern signals that the downtrend is likely over and an uptrend may be imminent.
WIF’s Meteoric Rise in 2024
WIF has been one of the standout memecoins in the Solana ecosystem, with its value skyrocketing this year. Traders who capitalized on its rise—whether through luck or skill—have reaped significant profits. The coin's popularity has been fueled by its meme status and the vibrant Solana community, positioning WIF as a key player in the ongoing memecoin boom.
Market Context and Outlook
The buy signal for WIF coincides with a broader cryptocurrency market recovery, further bolstering its potential for continued growth. If WIF follows the TD Sequential's prediction, it could hit new local highs, providing opportunities for both short-term traders and long-term holders.
As WIF approaches the $3.8 mark, it will be critical to watch for further technical indicators and market trends to assess whether this meme-inspired cryptocurrency can sustain its bullish momentum or face resistance at higher levels.
