The crypto market is seeing selling pressure, particularly for WIF, following a large fund transfer to Coinbase.
Whale Sell-Off Threatens Dogwifhat Stability
Analysts watch a crypto whale's recent transfer of 1.2 million WIF tokens worth $3.47m to Coinbase. This event has raised investor concerns as such large transfers often precede sell-offs. The whale purchased these tokens 11 months ago for $393,000, marking over $3 million in profit.
Support Trendline and Its Role
Amid market uncertainty, WIF price dropped from $4.8 to $3.04, registering a 38% loss. Continued selling could push the price below the 200-day EMA, intensifying sales pressure. A predicted drop could see a 24% decline to $2.3, where the ascending trendline offers a potential support point. This dynamic support has been crucial since early November, providing accumulation points amid market correction.
Market Growth and Support Prospects
If support holds, WIF may rebound, challenging resistance at $4.8. Investors are closely monitoring developments, hoping for a market recovery despite ongoing instability.
The WIF market remains tense due to the impact of large fund transfers. Attention to trendlines and key support levels could be crucial in understanding price dynamics moving forward.
