Analyzing the Potential Reasons Dogwifhat [WIF] Could See a 60% Surge

Investors in Dogwifhat [WIF] encountered challenges in the previous week as the memecoin witnessed a significant decline in its price. Nonetheless, there seems to be a ray of hope on the horizon, especially with the altcoin nearing a crucial support level, potentially signaling the conclusion of its recent bearish trend.

If the support level holds, it could attract bullish sentiment and aid in the recovery of the memecoin’s lost value in the upcoming period.

Is the End of WIF’s Turmoil in Sight?

Last week saw the dominance of bears over bulls in the popular memecoin market, resulting in a 7% price decrease. This trend persisted in the past 24 hours as well, with WIF shedding 4% of its value.

Despite these challenges, there is a glimmer of hope as a bullish pattern appears to be emerging on WIF’s chart. Analyzing the memecoin’s daily chart, it was observed that a bullish ascending triangle pattern has started to take shape.

This pattern manifested towards the end of July, with WIF’s price consolidating within its confines since then. The recent downturn could potentially be attributed to this consolidation phase.

Presently, WIF is undergoing testing of the support within this pattern. If successful, this could signal the end of the bearish trend and propel WIF towards the resistance level. A breakout above this pattern might trigger a substantial 60% price surge in the near future.

Hence, investors are advised to exercise caution and monitor WIF’s trajectory closely.

Anticipated Developments for WIF

Given the likelihood of WIF continuing to consolidate within the pattern, a deeper evaluation of Dogwifhat’s on-chain data was conducted by CryptoCrypto.

Based on the assessment of Santiment’s data, WIF’s social dominance remained relatively strong, underscoring its popularity in the crypto sphere. Moreover, other datasets exhibited optimistic trends.

For instance, there was a simultaneous decline in WIF’s trading volume and price, mirroring a similar pattern in Open Interest. A decrease in Open Interest usually signals a potential shift in the prevailing price direction, hinting at an upcoming bullish reversal.

Additionally, the analysis of Hyblock Capital’s data unveiled a significant metric pointing towards a major trend reversal.

For instance, WIF’s sell volume plummeted from 100 on November 1 to 9.2 on November 2. A decline in this metric indicates waning market interest in the asset, potentially foreshadowing an impending reversal in trends.

Nonetheless, considering the volatile and unpredictable nature of the cryptocurrency market, nothing can be definitively asserted. A sustained price decrease might drive WIF towards $1.9. Should the support level falter, investors could witness a decline to $1.4.