Date: Thu, February 6, 2025 | 12:56 PM GMT
The crypto market has been on a rollercoaster ride lately, and memecoins like Dogwifhat (WIF) have been hit hard. Over the past 60 days, WIF and fellow Solana-based memecoin Popcat (POPCAT) have dropped nearly 80 percent, highlighting the volatility in this narrative.
At the moment, WIF is trading around $0.78 after recently plunging to an 11-month low of $0.63 on February 3. But despite the downturn, big players seem to be making moves.
Whale Accumulation
Whales are taking advantage of the dip, withdrawing large amounts of WIF from centralized exchanges. According to The Data Nerd, whales have pulled out 22.26 million WIF, worth approximately $18.02 million, from Binance and Coinbase in the past 24 hours.
Here’s a breakdown of the biggest withdrawals:
- 4x3M8: 9M WIF (~$7.36M)
- G1pif: 2.68M WIF (~$2.1M)
- A3kTT: 6.5M WIF (~$5.18M)
- D2Noa: 4.08M WIF (~$3.38M)
This accumulation suggests that major investors might be betting on a potential price rebound.
Will WIF Recover?
WIF hit an all-time high of $4.81 on November 11, fueled by listings on Robinhood and Coinbase. However, instead of a healthy correction, its price crashed nearly 80 percent in just weeks, bottoming out at $0.63 before stabilizing around $0.78.
According to technical analyst Mihir, WIF is forming an expanding triangle pattern. The chart shows that WIF recently bounced off a key support trendline, which has acted as a reversal zone.
If this support holds, a potential recovery toward the upper resistance trendline near $4.50 could be in play. However, WIF has faced multiple rejections from this resistance level in the past, making it a crucial breakout point for any sustained rally.
If whale accumulation continues and WIF manages to reclaim key levels, it could set the stage for a strong recovery. However, if the price fails to hold above the support trendline and breaks below $0.63, further downside could be expected.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct your own research before making investment decisions.