What’s Ahead for Dogwifhat Price After a 60% Weekly Surge?

Sahil Mahadik
Updated
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Dogwifhat Price

Highlights

  • A potential bullish crossover between the 20D and 50D could project another buy signal and accelerate the bullish momentum.
  • The WIF price could face intense supply pressure at the overhead trendline of the channel pattern.
  • The 24-hour trading volume in Dogwifhat is $487.5 Million, indicating a 52% gain.

The market sentiment of crypto investors has changed drastically in the last two weeks. In early July, when Bitcoin traded at $55000, the traders feared for more correction but now the calls for a new high emerged. Amid the renewed recovery, the Dogwifhat price outperformed most of the major altcoins with a notable 60% jump since last week. Will this recovery extend or are sellers waiting to strike at a higher level?

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Dogwifhat Price Eyes $4 Rally as Futures Open Interest Doubles

BINANCE:WIFUSDT Chart
Dogwifhat Price| Tradingview

The Solana-based memecoin Dogwifhat showcased a nearly upright rally in the past two weeks. After the prevailing correction bottomed at $1.50 support, the coin price rebounded 86% to trade at $2.78, while the market cap surged to $2.78 Billion.

This rally, driven by the broader market recovery and a double-bottom reversal pattern, has successfully reclaimed the daily Exponential Moving Averages (EMAs) for the 20, 50, and 100-day periods. On July 18th, the WIF price breached the $2.36 neckline of the double bottom pattern, offering an early sign of trend recovery.

According to data from Coinglass, the Dogwifhat price recovery coincided with a significant rise in Futures Open Interest, escalating from $194.26 million to $389.6 million—a substantial increase of approximately 100.56%. This significant growth in Open Interest indicates a strong influx of capital and heightened trading activity, underscoring a bullish sentiment among investors.

Dogwifhat Futures Open Interest
Dogwifhat Futures Open Interest| Coinglass

The rising slope of the ADX indicator, currently at 26%, suggests that the asset is not overbought, indicating that buyers have the potential to propel the recovery further.

With sustained buying, the Dogwifhat price can rise 18% before it challenges the major resistance of a falling channel pattern. While the ADX indicator has indicated the potential of a prolonged rally, a directional rally with no breaks is unstable. 

Therefore, the WIF price is poised for a minor pullback, possibly to the 20-day EMA, to recuperate the buyer’s strength before the channel breakout. 

The two parallel trendlines of the channel have carried a steady correction in the Dogwifhat coin since April 2024. A potential breakout from this channel pattern is necessary to signal uptrend continuation.

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Key Takeaway

Meme cryptocurrencies, known for their volatility and appeal to speculative traders, frequently respond energetically to emerging market trends. This pattern was recently exemplified by the Dogwifhat coin, which surged 60% during the ongoing market recovery. Although the WIF price might experience some interim pullbacks, technical analysis suggests the likelihood of a sustained rally

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Frequently Asked Questions (FAQs)

1. What does a rise in Futures Open Interest indicate?

A rise in Futures Open Interest indicates an increase in the number of outstanding futures contracts that have not been settled. This typically suggests heightened trading activity and investor interest.

2. Is Dogwifhat (WIF) Ready to Hit a New High?

The ongoing recovery in Dogwifhat's price demonstrates strong momentum from buyers aiming to reach a new high. However, minor pullbacks are necessary to regain buyer strength before buyers breach channel pattern to prolong bullish trend.

3. What does a rising slope of the ADX indicator signify?

A rising slope of the ADX (Average Directional Index) indicator signifies an increasing trend strength. It doesn't indicate the direction of the trend but rather the momentum behind it.
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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
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
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.