Dogwifhat (WIF), a meme coin on the Solana blockchain, is beginning to show signs of a trend reversal after a prolonged decline that started in December 2024. After a drop of more than 60%, WIF has formed a bullish price action pattern on its daily chart and is preparing for significant growth.
Donald Trump’s Impact on Crypto Market
Following Donald Trump’s pro-crypto stance and his election victory in November 2024, WIF saw an explosive 154% price surge. However, since then, it has undergone continuous decline, losing all its gains and reaching a crucial support level of $1.50. At this support level, WIF has consolidated for over a week and has now officially broken out, clearing its path for substantial upward momentum.
Dogwifhat (WIF) Technical Analysis and Upcoming Level
According to expert technical analysis, WIF has successfully broken out of its consolidation phase but faces immediate resistance at $1.80. If the meme coin breaches this resistance and closes a daily candle above $1.83, there is a strong likelihood of a 50% surge to reach $2.71 in the future. On the positive side, WIF’s Relative Strength Index (RSI) is near the oversold area, indicating a potential upside rally and an ideal buying opportunity. However, WIF is trading below the 200 Exponential Moving Average (EMA) on the daily time frame, which suggests it remains in a downtrend. Source: Trading View
Bullish On-Chain Metrics
While analyzing this bullish price action, long-term holders and traders are placing bets on the upside, according to on-chain analytics firm CoinGlass. Data from spot inflow/outflow shows that exchanges have witnessed an outflow of over $1.90 million worth of WIF. In the cryptocurrency context, outflow refers to the movement of assets from exchanges to wallets, indicating potential accumulation. This can create buying pressure and contribute to a price surge. Meanwhile, traders on Binance are betting on the long side: CoinGlass’s Binance WIF/USDT long/short ratio is currently 3.71, indicating strong bullish market sentiment. Source: Coinglass
When combining these on-chain metrics with technical analysis, it appears the bulls are currently dominating the market and could support the meme coin in its upcoming rally. Currently, WIF is trading near $1.75 and has undergone a price rally of over 7.80% in the past 24 hours. During the same period, its trading volume surged by 92%, indicating increased participation from traders and investors.
