Solana blockchain’s popular memecoin Dogwifhat (WIF)$WIF
What price levels could it reach in a possible bullish scenario?
WIF, one of the altcoins that has been on the rise since November, has been performing poorly recently. Having lost over 20% of its value on December 9, WIF has struggled to form a strong price structure since then, although it has made progress with recovery efforts. Despite an increase of approximately 15% from the lows, the coin has still not gained significant momentum.
AMBCrypto has analyzed the recent price action of WIF and identified potential buy and sell zones. The analysis points to the $3.8 level as a potential sell point.
AMBCrypto’s Dogwifhat (WIF) analysis predicts a rally of up to 30% for the popular memecoin. The analysis included the following statements:
“WIF’s price target has been kept limited to $3.8, a strategic level where investors large and small can quickly exit.”
Last month, WIF rose 30% in a single day to reach $4.83. However, this rally was followed by a sharp correction to $2.9 and WIF now appears to be in an accumulation phase. According to AMBCrypto, a drop to $2 could be an attractive buy point.
According to the analysis, WIF weakened due to the loss of interest in high-yielding altcoins. Additionally, whales started to exit WIF, which may have had a negative impact on the price. These two factors suggest that WIF may experience further declines.
The analysis included the following statements:
“As WIF approaches key price levels, we observe a large liquidity pool of long positions being liquidated and traders being taken out of the game at these levels. This is also evident by the sharp decline in Open Interest (OI).”
OI has almost halved to $541 million. AMBCrypto notes that the WIF drop below $3 is related to the decrease in OI.
AMBCrypto emphasized that the $3.8 level is a strong resistance point and investors should seize the right buying opportunity. The increase in buying momentum, the rise in price on the spot side, and the compression of large short positions could trigger a potential rally in WIF.