The Dogwifhat (WIF) coin is currently consolidating within a triangle pattern, with recent significant whale purchases indicating potential bullish momentum. A breakout from this pattern could push the price to $3.70 or higher.
On Monday, the cryptocurrency market experienced a slight uptick, with Bitcoin (BTC) maintaining stability above $66,000, rising by 1.2%. This positive momentum extended to major altcoins, including the Solana-based memecoin Dogwifhat. The WIF coin price increased by 5%, bouncing back from the crucial support level of the triangle pattern, signaling a potential significant recovery.
Dogwifhat Coin Targets $3.70 as Triangle Pattern Narrows
Over the past two months, Dogwifhat has been trading sideways within the converging trendlines of a triangle pattern. This dynamic support and resistance have squeezed the WIF price into a narrow range, often seen as a consolidation phase before the asset continues its prevailing trend.
With Bitcoin showing resilience above $66,000, WIF rebounded from the lower support trendline of the triangle, forming a morning star candle. This bullish reversal pattern suggests another upswing within the triangle, potentially pushing the memecoin’s price back to $3.
Lookonchain, an on-chain data tracker, identified a significant whale purchase of WIF tokens. The whale created a new wallet and withdrew 1.83 million USDC from Coinbase, using $606,000 USDC to buy approximately 227,896 WIF at an average price of $2.66. The whale still has $1.22 million USDC remaining, indicating ongoing accumulation.
This continuous whale accumulation suggests strong bullish sentiment, which could drive up the token’s market value.
According to the technical chart, Dogwifhat needs an upside breakout from the triangle pattern to release the built-up bullish momentum. Post-breakout, the rally could drive the price to $3.70, followed by $4.86.
Technical Indicators
- Bollinger Bands (BB) Indicator: The upswing in the lower boundary of the Bollinger Bands provides additional support for WIF buyers aiming for the $3 mark.
- Moving Average Convergence Divergence (MACD): The MACD (blue) and signal line (orange) moving sideways around the midline indicate a neutral sentiment among market participants.
A breakout from the current consolidation pattern could set the stage for significant gains, driven by strong whale activity and positive market conditions.
