- Market sentiment surrounding the memecoin turned bullish.
- There were chances of a price correction as WIF’s RSI was about to enter the overbought zone.
dog hat [WIF] has shown impressive performance over the past 24 hours. This also allowed the memecoin to evolve towards a new purpose. Therefore, AMBCrypto planned to assess the memecoin’s on-chain data to figure out the next step.
dog hat breaks out
CoinMarketCaps facts revealed that WIF bulls performed extremely well over the past 24 hours as they pushed the memecoin’s price up by more than 18%.
At the time of writing, WIF was trading at $2.65 with a market cap of over $2.6 billion, making it the 35th largest crypto.
Thanks to this latest price increase, the memecoin’s weighted sentiment returned to the positive zone. When that happens, it indicates that bullish sentiment around an asset is high.
However, this did not affect the dogwifhat’s particular dominance, which has remained relatively low in recent days.
Source: Santiment
Although social dominance remained low, the price increase pushed WIF towards a new goal. World Of Charts, a popular crypto analyst, posted tweet make this development visible.
According to the tweet, dogwifhat broke yet another trend line above. The latest breakout indicated that the memecoin might target $5 in the coming days.
The upcoming objectives of WIF
AMBCrypto then looked at dogwifhat’s on-chain stats to see if they support the possibility of the memecoin targeting $5.
According to our analysis of Santiment’s data, WIF’s trading volume has increased after a dip in recent hours, setting the stage for the bull rally.
In addition, WIF’s open interest also increased. An increase in the statistic indicates that there is a good chance that the ongoing price trend will continue.
Source: Santiment
WIF’s technical indicator MACD showed a bullish upper hand on the market. If the uptrend continues, it will be crucial for WIF to cross a few more resistance zones before targeting $5. To be precise, the next target could be $2.8.
A successful breakout above that level could push dogwifhat to $3.7. After the memecoin jumps above that point, the path towards $5 could become clear. However, not everything was in the memecoin’s favor.
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For example, the Relative Strength Index (RSI) was about to enter overbought territory. If that happens, it won’t be a surprise to see a price correction.
In the event of a bearish takeover, WIF could fall again to $1.9.
Source: TradingView
Credit : ambcrypto.com
