Dogwifhat Price Analysis: 2 Actions To Take As 2 Major Reversal Patterns Set WIF Rally For $4

Dogwifhat Price Analysis: The cryptocurrency market entered July on a bullish note as Bitcoin jumped 2% on Asian Trading hours to hit $63880. The renewed buying pressure has uplifted altcoins to a fresh relief rally with the meme coins leading in growth due to their volatile nature. Dogwifhat, the Solana-based memecoin, has emerged as one of the top gainers, experiencing an 11.5% surge in the last 24 hours. This upward movement indicates a potential reversal pattern, setting the stage for a higher rally.

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Dogwifhat Price Analysis: Key Indicators Signal Major Reversal

The easing supply pressure in the crypto market after Bitcoin’s reversal from $60000 has bolstered several altcoins to form the local bottom. Dogwifhat clearly shows this phenomenon in a 4-hour chart as the price reverted immediately from the $1.478 mark.

Within a week, the bullish upswing propelled WIF by 48.83% to reach the $2.19 trading price, while the market cap surged to $2.2 Billion. A deeper analysis of the technical chart shows the V-shaped recovery develops an inverted Head & Shoulder pattern.

In theory, this chart pattern is commonly spotted at major bottoms as an early sign of trend reversal with new higher low formation. With an intraday gain of 4%, the Dogwifhat coin teases a bullish breakout from the pattern’s neckline resistance around $2.3.

An upside breakout with a 4-hour candle closing will provide buyers with suitable support to lead a sustainable recovery.

Also Read: Cryptos To Buy On This 1st July To Stay Bullish Throughout Month

Daily and 4-Hour Chart Pattern Signal Bullish Trends for WIF

An analysis of the daily chart shows the June market correlation and recent recovery assisted WIF prices to develop a falling wedge pattern. This reversal pattern encourages the asset to resonate within two converging trendlines until it develops sufficient momentum to break the diagonal resistance trendline.

Thus, the InH&S pattern of the 4-hour chart could be the necessary precursor for a bull cycle within the wedge. The first pattern breakout could surge the memecoin 52% at $3.3 and challenge the overturned.

The wedge pattern breakout will be the key signal of uptrend continuation, bolstering Dogwifhat to target $4, followed by $4.86.

Technical Indicator

• ADX: A downtick in the Average Directional Index indicator at 21% accentuates the prior trend (bearish) losing its momentum, which could bolster buyers from taking over.
• EMAs: The coin price trading below the daily Exponential Moving Average (20, 50, and 100) indicates the market sentiment is still bearish and the path to least resistance is up.