The bullish momentum of dogwifhat’s [WIF] has gained significant traction after achieving a remarkable 48.19% weekly surge. The rally has now extended into the daily timeframe, witnessing another impressive 27% increase in price. This surge sets the stage for potential further upward movement.
Various metrics offer differing perspectives on the extent of the rally, presenting diverse insights into the potential trajectory of the asset’s price.
Symmetrical Triangle Pattern Indicates Strength for WIF
WIF is currently engaged in trading within a symmetrical triangle pattern, a formation often viewed as a positive catalyst that typically leads to a price movement towards the channel’s peak—and possibly beyond.
The projected peak of this channel stands at $4,860. To fully realize the rally and initiate a significant upswing, WIF must break through the resistance line situated at $2.918, potentially transforming it into a support level.
Setting short-term targets at $4.080 and a secondary target at $4.860, there is a pathway for a potential breakout that could establish new highs for WIF.
Further analysis from CryptoCrypto indicates a probable rally for the asset in the near future.
Positive Indicators Forecast Upside for WIF
Utilizing the Aroon Line, CryptoCrypto has identified a predominantly optimistic market trend that could further drive WIF’s rally.
The Aroon Line serves as a technical indicator for evaluating both the strength and direction of a trend, comprising two components: Aroon Up (orange) and Aroon Down (blue).
With the Aroon Up line currently standing at 100.00% and the Aroon Down line at 50.00%, signaling a bullish market sentiment, there is a likelihood for the market to retain its upward momentum.
Moreover, the Relative Strength Index (RSI), indicating the speed and change of market momentum, is on an upward trend and remains within the positive territory.
At a current reading of 66.27, the RSI reflects strong bullish sentiment, positioning WIF for potential further upward movement if this trend persists.
Mixed Sentiment with a Neutral Bias
Open Interest, tracking the number of outstanding derivative contracts in the market, has witnessed a significant uptick of 23.27%, positioning it favorably.
This uptrend suggests aggressive opening of long positions over the past 24 hours, totaling a value of $549.55 million.
On the flip side, data on liquidations unveils a nearly equal number of long and short liquidations, portraying a neutral market sentiment.
Long liquidations saw a figure of $4.30 million, comparable to short liquidations at $4.52 million. The long/short ratio of 0.9786 positions close to a neutral zone.
Should these metrics shift towards a more bullish direction, it could set the stage for a substantial rally for WIF.