- dogwifhat is likely to break through the $3 resistance level in the coming weeks.
- There may be a slight price drop soon, and the bulls may re-enter at lower time frame support levels.
dogwifhat(WIF) broke through the local resistance level of $2.37, thereby negating the idea that memecoin could form a smaller range than the one in April. Recovering sentiment sets new bullish targets.
One of them is the $4 level, which the token is likely to reach thanks to its momentum. However, the market may see a slight pullback before the uptrend continues.
WIF may soon see a branching.
Source: WIF/USDT on TradingView
The 12-hour chart showed a solid bullish structure, with the RSI above 70 showing a bullish momentum. The RSI and price were forming higher highs. A bearish divergence is formed when the RSI forms lower highs while the price pushes higher.
Traders should watch this and act accordingly. The price may briefly decline at the resistance level north of $2.92. The CMF is well above +0.05, indicating massive capital inflows.
A move above $2.37 and $2.5 is a sign of bullish intent. Traders may show a bullish bias and look for long entries on swing positions around these support levels.
Gift data shows emotions are healthy
Source: Coinalyze
Open interest rose along with the price, showing that speculators are willing to bet on a continued rise in price. Funding ratios also rose, showing that long positions are becoming increasingly dominant.
Realistic or not, WIF’s market cap in BTC terms is as follows:
While this was good news in the short term, the spot CVD was in a downtrend, which contradicted the volume information from the price action and could be an early warning that DogSwift’s momentum is coming to a halt.
Overall, there is still a good chance that WIF will see a slight price drop this week. If so, it could retest the $2.66 and $2.5 support levels to enter a long position.
Disclaimer: The information presented does not constitute financial, investment, trading or any other type of advice and is solely the opinion of the author.