Dogwifhat price surged 4.5% to $1.45 on Monday during the Asian trading session. The bullish uptick follows the broader market relief after a notable correction last week. While most major altcoins have yet to confirm bottom formation, the highlighted interest from the WIF whale hints at a potential reversal looming.
Dogwifhat Price Set for Reversal Amid Whale Buying Frenzy
According to the on-chain data tracker Lookonchain, a whale accumulated 9.57 Million WIF(worth approximately $13.59M) from major crypto exchanges Binance and Bybit in the past four days. Typical whale accumulation is observed to coincide with major bottom formation, and they surge in positive market sentiment.
A whale has accumulated 9.57M $WIF($13.59M) from #Binance and #Bybit in the past 4 days!https://t.co/4bnfADQpqG pic.twitter.com/To4yLQOS9F
— Lookonchain (@lookonchain) September 2, 2024
The Dogwifhat price is currently trading at $1.46, a significant drop of nearly 70% from its all-time high of $4.85. However, the recent whale activity isn’t limited to the accumulation mentioned above as the largest Dogwifhat whale recently purchased 800,556 WIF, increasing their total holdings to 28 million WIF, valued at $53.23 million.
Moreover, the WIF funding rate spiked to 0.016% on Monday, according to Coinglass. The positive value indicates the market buyers are ready to hold Dogwifhat’s long position by paying a premium, signaling the traders’ anticipation for recovery.
WIF Price Nearing End-of-Correction Amid Wedge Pattern Formation
For over a month, the Dogwifhat price has shown a sideways action wavering around the $1.65 mark. This consolidation trend, with notable swings on either side, indicates no dominance from buyers or sellers in driving this asset.
However, a broader perspective shows the WIF price still resonates within the two converging trendlines of the falling wedge pattern. This chart pattern signals a downtrend reaching maturity and could provide a decisive breakout for a fresh buying opportunity.
If the pattern holds true, the Dog-themed memecoin could surge 20% to challenge the resistance trendline of the falling wedge pattern. If the buyers flip this overhead trendline into potential support, the renewed recovery could target $2.9, followed by $4 and $4.85.
On the contrary, a bearish alignment between the daily exponential moving averages (20, 50, and 100) hints the Dogwifhat price will face continued overhead selling pressure. Therefore, a price reversal from the downsloping trendline will prolong the ongoing correlation and push the asset back to $1.
Frequently Asked Questions (FAQs)
The Dogwifhat price surged by 4.5% due to increased whale accumulation and a positive shift in funding rates,
The recent whale accumulation of 9.57 million WIF tokens suggests confidence in WIF price recovery.
Despite positive signals, the bearish alignment of daily exponential moving averages suggests continued overhead selling pressure.
Sahil Mahadik
Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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