Despite the overall market’s slow performance, the memecoin sensation dogwifhat [WIF] has been gaining momentum. As of the latest update, WIF has surged by more than 7%, with its price surpassing the $2.5 mark. It is worth mentioning, though, that its trading volume over the past 24 hours has decreased by 5.67%, as per CoinMarketCap data.
This recent spike has positioned WIF favorably, with many experts anticipating further upswings in the memecoin’s value. What can investors expect from WIF as we head into Q4 of 2024?
Forecast for WIF’s Price Movement
Starting from mid-September, WIF has shown a bullish trend in its price performance, enduring market fluctuations with resilience.
Examining the daily charts reveals that WIF has consistently revisited crucial support levels, with the Simple Moving Average (SMA) responding positively on each occasion.
Presently, WIF appears to be progressing through the initial wave of a five-wave Elliott Wave pattern, with its peak reaching $4.8. Analysis using the Fibonacci Retracement tool indicates that WIF is in the process of testing the 0.65 level.
If WIF manages to maintain position above this level, the next target could be $3.2. This translates to a potential increase of around +20% from the current value, as highlighted by renowned analyst Mac on X (formerly Twitter).
This projected target aligns with the 1.618 Fibonacci level, which seems feasible considering WIF’s existing trajectory.
Moreover, the Relative Strength Index (RSI) shows trading above the 20 Daily Moving Average (DMA) and remains within the neutral zone. This suggests diminished profit-taking risks and room for further appreciation without hitting an overbought status.
Market Sentiment on WIF’s Long/Short Positions
Assessing trader sentiments, the Long/Short ratio indicates that 59% of traders are currently favoring short positions on WIF.
This implies that while short-term traders might be aiming for immediate gains, the overall sentiment remains optimistic. In the hours leading up to the current assessment, the percentage of long positions increased from 36% to 40%, indicating a resurgence in bullish sentiment in the market.
This rise in long positions indicates that traders are positioning themselves for potential profits, based on short-term data.
Analysis of Solana-Based Memecoin Sector
Besides price movements, dogwifhat dominates the Solana-based memecoin segment, with a combined market capitalization exceeding $10 billion.
Furthermore, the daily trading volume for Solana memecoins surpasses $2.3 billion, providing WIF with substantial liquidity to support its next upward move.
Given this robust liquidity, there is speculation that WIF could experience a price surge of over 20% by the year’s end. This positions it as a memecoin to monitor closely in the upcoming months.
WIF is poised to capitalize on the growing interest in Solana memecoins. With strong technical fundamentals, increasing liquidity, and favorable trader sentiment, dogwifhat appears set to offer significant returns for investors.