Dogwifhat Soars as Whale Makes Big Splash, Price Poised for Breakout

Dogwifhat Soars as Whale Makes Big Splash, Price Poised for Breakout

The price of Dogwifhat (WIF), a popular memecoin, is surging after a key investor made a significant purchase, fueling market sentiment and sparking a potential breakout.

According to on-chain analytics firm Lookonchain, the leading WIF holder recently acquired a whopping 800,556 tokens at $1.92 each, spending a total of 1.54 million USDC. This hefty buy-in bolstered their total holdings to a staggering 28 million WIF, with a current market value of $53.23 million.

This isn’t the whale’s first foray into the WIF market. Lookonchain details the investor’s history of aggressive accumulation, including a recent purchase of 1.8 million WIF tokens and a prior acquisition of 19.86 million WIF at a mere $0.0114 per token in December 2023. These strategic investments have translated into a whopping $77 million in profits for the whale, showcasing their confidence in WIF’s potential.

WIF Price Gears Up for Renewed Uptrend

While the price dipped slightly over the weekend to $1.9, analysts consider this a minor pullback after a strong early-week rally. The market may be consolidating before pushing higher, fueled by the whale’s accumulation and a surge in open interest within futures markets.

Open Interest Spikes, Suggesting Growing Investor Interest

Open interest for WIF futures jumped a significant 37% within the past week, rising from $192.8 million to $264.1 million (data from Coinglass). This substantial increase indicates a growing appetite for WIF among investors, potentially reflecting strong market confidence or speculative activity.

Falling Wedge Pattern Hints at a Major Breakout

Looking at the technical indicators, a falling wedge pattern has emerged on the daily chart, hinting at a potential breakout. This bullish pattern, formed since March 2024, suggests diminishing bearish momentum. With continued buying pressure, the price of WIF could rise 12% and challenge the overhead resistance at $2.1.

A successful breakout could mark a significant shift in the market trend, paving the way for a rally towards $2.9 and even $4.

 

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ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
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