Dogwifahat price fell below the key support level at $2 this week, mirroring the performance of Bitcoin and other Solana meme coins.
Dujoyvat (WIF), one of the largest cryptocurrencies on the Solana network, fell to a low of $1.8520, marking a decline of more than 61% from its peak in November.
The decline in WIF price is related to the broader range Encryption crash Which saw Bitcoin (Bitcoin) Most altcoins declined. The total market capitalization of these currencies decreased from $3.6 trillion last week to $3.3 trillion today due to risks in... Bond market continued.
WIF also fell as some investors took profits from the recent rise. Nansen data shows that many of WIF's top investors are starting to cash out. The lead investor made a profit of $10.8 million and sold $2.4 million worth of his holdings. As seen below, other major investors also unloaded a significant portion of their tokens.
One WIF whale remains optimistic about a recovery once the market stabilizes. According to LookOnChain, the whale bought 7.25 million WIF tokens worth $13.34 million on Tuesday. In addition, the same investor bought another Solana meme coinsincluding Popcat, Fwog, and Michi, indicating that a rebound is expected in the meme coin space.
Meanwhile, data from Nansen shows that more WIF tokens are being transferred off exchanges, which is generally seen as a positive sign. The number of tokens on exchanges decreased to 433.28 million, down 0.32% from the previous week.
The total supply of WIF on central exchanges also decreased by 0.17% to 43.22% during the same period. As shown below, the coin recorded an outflow of $24.1 million from central exchanges in the past 24 hours, which is ten times higher than the recent average.
Tokens leaving exchanges is a good sign since investors are optimistic that they will bounce back once the ongoing crypto run ends.
WIF price analysis because it is located at a major support level
The daily chart shows that Dogwifhat has been in a strong downtrend since peaking at $4.7870 on November 13. The price has now retreated to $1.82, an important support level that corresponds to the swing low from August last year.
The currency's 50-day and 100-day moving averages have formed a bearish crossover. It has also formed a bear flag chart pattern consisting of a long vertical line and a rectangle-like pattern.
Additionally, the price chart shows a double top formation with a top at $4.78 and a neckline at $1,093. This pattern indicates a potential downside breakout, as sellers are likely to target the next major support level at $1,093, which is 43% lower than the current price.
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