Dogwifhat Gains 66% in 3-Days: Will Solana ETF Approval Push WIF Price to $2?

Dogwifhat Price Analysis

Dogwifhat price rallied 5% within the daily time frame on Aug 8, to seal its 3rd consecutive day in profit, technical indicators show how Solana ETFs approval in Brazil could drive WIF above the $2 mark in the weeks ahead.

Ripple’s Bullish News Lifts WIF Price By 66%

The broader cryptocurrency market received a significant boost on August 8 following Ripple’s announcement of a $125 million investment aimed at expanding its ecosystem.

This news triggered a wave of positive sentiment across the market, with many memecoin also experiencing notable gains. Among them, WIF has seen a particularly strong performance, surging another 5% to reach $1.78, marking a 3rd consecutive day in profit.

The WIF price chart shows that the cryptocurrency has experienced a substantial recovery, gaining over 66% in just three days. The recent rally, which began on August 5, appears to be gaining momentum, supported by Ripple’s high-profile investment news.

The price of WIF is currently trading above key support levels, with the next resistance target at $1.80. A successful breach of this level could open the door for further gains, possibly pushing WIF towards the $2.00 psychological mark.

Bull Traders Raise Leverage after Solana ETF Approval

Adding to the positive outlook, Brazil’s approval of Solana ETFs is expected to further bolster WIF’s price action. The introduction of these ETFs could drive increased institutional interest and investment into the Solana ecosystem, indirectly benefiting related assets like WIF.

Dogwifhat derivatives markets data shows that bulls are deploying leverage more aggressively on their LONG positions.

Recent changes in the WIF funding rate, as seen in the latest data, point toward a potential bullish outlook for the asset. On August 8, 2024, the funding rate flipped positive, reaching 0.0027%, coupled with a price increase to $1.72.

This positive shift suggests that traders are becoming more optimistic about WIF’s near-term prospects, as the market is willing to pay a premium to hold long positions.

Notably, this is the first time WIF Funding rate has flipped positive since the market crash on Monday, Aug 5. With demand for WIF now increasing, this could lead to sustained gains, especially as bullish sentiment strengthens across the broader market.

WIF Price Forecast: $2 Resistance Looms Large

WIF has shown signs of recovery after its recent downtrend, and the technical indicators suggest that a bullish move could be underway.

The daily chart reveals that WIF has rebounded from a significant low of $1.15, marked by a 66.15% rally over the last three trading days, closing near $1.68. The price is now approaching the midline of the Bollinger Bands, which could act as the first area of resistance around $1.80. A break above this level could open the door for a retest of the psychologically important $2 mark.

The Bollinger Bands are currently contracting, indicating reduced volatility, but the recent price action suggests that a breakout could be imminent. The key resistance level at $2.13, represented by the upper Bollinger Band, is critical for bulls to overcome.

If the price manages to break through this resistance, it could trigger a strong upward move towards the next resistance level around $2.30, which has previously acted as a significant barrier.

However, the support levels should not be overlooked. The $1.50 level, close to the lower Bollinger Band, serves as a crucial support zone. A drop below this level could invalidate the bullish scenario and put the recent gains at risk. The 20-day SMA around $2.14 is another resistance level to watch, as a move above it would signal the continuation of the bullish trend.

In conclusion, WIF is facing a critical juncture as it approaches the $2 resistance level. The indicators suggest a bullish outlook, but the price must break through key resistance levels to confirm the continuation of the uptrend.

Strategic traders would watch the $1.80 and $2.13 resistance levels closely, as a successful breakout above these levels could lead to further gains.