TLDR
Dogwifhat price surged 5.4% on Monday, reaching a two-month high of $2.77
The cryptocurrency broke past a 190-day resistance level
Future open interest for WIF increased significantly, rising 89% since mid-September
Technical analysis suggests a potential 54% rally to $4.08
The Average Directional Index (ADX) at 28% indicates possible buyer exhaustion soon
The Solana-based meme cryptocurrency Dogwifhat (WIF) has shown significant market momentum, breaking through a key resistance level and signaling potential for further growth.
On Monday, WIFâs price increased by 5.4%, reaching a two-month high of $2.77. This surge comes as part of a broader market uptick and represents a breakthrough of a 190-day resistance barrier.
Over the past four days, Dogwifhatâs price has risen sharply from $2 to $2.7, marking a 34% increase. This growth has pushed the cryptocurrencyâs market capitalization to $2.67 billion.
The recent price jump has overcome bearish sentiment triggered by geopolitical events, including tensions between Israel and Iran, and surpassed the $2.5 price level.
Technical analysis of WIFâs daily chart reveals a wedge pattern breakout, indicating a potential major trend reversal.
This follows a steady six-month correction that had previously driven the price down to a low of $1 in early August. If the current demand pressure continues, analysts suggest that buyers could potentially drive a 54% rally, pushing the price towards $4.08, with the possibility of challenging the previous peak of $4.86.
Adding to the bullish sentiment, WIFâs futures market has seen a dramatic increase in open interest. Data from Coinglass shows that open interest has surged by 89% since mid-September, rising from $195.7 million to $370 million.
This sharp increase indicates growing participation in the WIF futures market and suggests a substantial buildup of positions by traders anticipating significant price movements in the near future.
However, some technical indicators suggest caution. The Average Directional Index (ADX), currently at 28%, is approaching overbought territory.
This high ADX value typically indicates that buyers may soon reach exhaustion and could require a pullback to recuperate bullish momentum. Market observers note that if the Dogwifhat price breaks below $2, thereâs a possibility of a notable drop to $1.
The cryptocurrencyâs price is currently trading above several key exponential moving averages (EMAs), including the 20, 50, 100, and 200-day EMAs.
This positioning above these important technical indicators is expected to intensify buying momentum and potentially support a prolonged rally. Analysts are particularly watching for a potential bullish crossover between the 50-and-100-day exponential moving averages, which could further accelerate the recovery momentum.
Dogwifhatâs recent performance comes amid broader interest in meme cryptocurrencies and continued growth in the Solana ecosystem.
The post WIF Price Surges 5.4%, Reaching Two-Month High of $2.77 appeared first on Blockonomi.
