- WIF could soar by 35% to hit the $2.10-level in the future
- On-chain metrics revealed that 80% of top traders on Binance held long positions, while 20% held short positions
Dogwifhat (WIF), a popular memecoin on the Solana blockchain, has been showing signs of a potential comeback after forming a bullish price pattern on its daily chart.
In fact, the last few weeks have not been favorable for WIF holders, with the altcoin recording a price drop of over 70% since November 2024.
Factors supporting Dogwifhat (WIF) for the bull run
However, considering the prevailing market sentiment, it appears that WIF could soon skyrocket. The factors supporting WIF’s positive outlook include bullish divergence, rising interest from traders, Solana’s recent gains, and its massive adoption.
Dogwifhat (WIF) technical analysis and price prediction
According to AMBCrypto’s analysis, WIF formed a bullish divergence on the daily timeframe at a crucial support level of $1.30. Historically, this support level has been favorable for WIF, as it has recorded significant price surges from over here.
Source: TradingView
Since August 2024, the meme coin has hit this support level more than four times. And each time, it has seen some impressive upward momentum.
Apart from the bullish divergence, the meme coin appeared to be consolidating within a tight range between the $1.345 and $1.50 levels.
Based on its recent price action, if WIF breaks out of this consolidation and closes a daily candle above the $1.52-level, there is a strong possibility it could surge by 35% to hit the $2.10-level in the future.
Traders’ rising interest in WIF
Observing the bullish price action, it would seem that intraday traders have shown strong interest and confidence in the meme coin, as reported by the on-chain analytics firm Coinglass. At the time of writing, WIF’s long/short ratio stood at 1.10, indicating strong bullish sentiment among traders.
Meanwhile, Binance’s WIFUSDT long/short ratio stood at 4.01, meaning that for every 4.01 long position, there was one short position. This can be seen as a a sign of traders strongly favoring the asset. Additionally, data further revealed that 80% of top traders held long positions, while 20% held short positions.
Source: Coinglass
When combining these on-chain metrics with technical analysis, it would seem that the bulls are currently dominating the asset and could help WIF break out of its consolidation to reach the predicted level.
Solana’s impact on WIF’s price
In addition to the aforementioned factors, Solana’s recent performance, record DEX volume, and rapid adoption of its technology have the potential to influence WIF and other SOL-based altcoins’ prices.
