📊 Dogwifhat Price Analysis
The cryptocurrency market has seen diminished volatility over the weekend, aiming for stability after a recent downturn. Bitcoin has managed to stay above $65,000 without clear signs of a reversal. However, Solana-based memecoin Dogwifhat has gained 5%, surpassing the $2.5 mark. Will this upward trend continue?
📈 Will Dogwifhat Hold $2 Amid Prolonged Market Consolidation?
Dogwifhat has been trading sideways for the past two weeks, bouncing between two converging trendlines. This has formed a symmetrical triangle pattern on the daily chart.
Recent Downturn: Dogwifhat's price fell from $4.08 to $2.2, a 45.85% decline, driven by selling pressure partly due to Bitcoin miners' capitulation.
Potential Upward Movement: Trader Alicharts pointed out that Bitcoin's average mining cost is $86,668. Historically, Bitcoin's price tends to rise above this cost, indicating a potential bullish trend.
With Bitcoin stabilizing above $65,000, Dogwifhat rebounded from the $2.2 support and the triangle’s lower trendline. This resulted in a 9% jump in 48 hours, pushing the price to $2.5. If the pattern holds, Dogwifhat could challenge the triangle’s upper boundary at $3.5, a potential 42% gain. However, the sideways action will persist until the triangle pattern breaks.
📉 Technical Indicators:
EMAs: A bearish crossover between the 50-and-100-day Exponential Moving Averages could accelerate selling momentum and extend consolidation above lower support before a bullish bounce.Vortex Indicator: A notable bearish crossover between VI+ (Blue) and VI- (Pink) indicates that bears still have control over the asset.
In summary, while Dogwifhat shows signs of a potential upward trend, the sideways action and technical indicators suggest that the market could remain cautious. Investors should watch for a break in the triangle pattern for clearer signals.
Top comments (0)