High Long Liquidation & Whales Offloading, Can WIF Fall To $1?

• 1 The market cap peaked at $4.0 Billion, before falling more than 55%, and now it ranks 50th on CoinMarketCap.
• 2 Fading interest in meme coins reflects caution towards high-risk assets amid volatility.
• 3 Whales of Dogwifhat (WIF) memecoin on Solana have sold off large quantities. 

The price once had a 50% growth in May 2024 from $2.73 to $4.22. The shift in the wind gave control to bears in June, and deterioration began.

Overall, its price laddered down fast due to abrupt selling, and absolute weak bulls faced the dominance of bears on the daily chart.

The 22.53% volume to market cap ratio signifies moderate liquidity in the market. Trading is happening hassle-free, and traders and investors might be squaring off their gains or losses at their nearest desired price level points.

Despite the fall, In the last 24 hours, the price has shown some positivity, as the volume surged 3.25%, amounting to $401.055 Million, and the WIF price surged 2.33%, where it last traded at $1.7990.

However, Big holders known as whales of Dogwifhat (WIF) memecoin based on Solana have offloaded massive amounts of quantity from their wallets. 

More Inflows on Binance by Whales

The Inflows generally formulate a bearish signal and lead to a price deterioration as users transfer crypto from wallet holding to exchanges, perhaps to square off their coins.

In WIF an massive inflow is witnessed via a tweet by lookonchain. The tweet showed a Solscan image, a WIF whale moved a massive reserve of 12.97 Million WIF tokens on BINANCE in the past two days. The transaction was worth $23.4 Million, which could accelerate the downtrend. Furthermore, these big-scale selloffs exerted considerable down pressure on price already and could enhance the pressure more on this SOL-based meme coin’s price. 

In the last 48 hours, WIF was trading below the critical $2.0 support level. From the round level, the price is almost 10% down on the daily chart. This consistent downfall of WIF led to a bearish trend 24.5% drop through the week and 38.50% drop over the month. Thus, it signifies the investors’ waning enthusiasm for the meme coins and reflects a larger trend within the cryptocurrency market.

WIF Market Cap Chart | Source: Coinmarketcap

Overall, from the market peak, the market cap was $4.0 Billion, and from that peak, the market cap has fallen more than 55%, and it ranks 50th in terms of market capitalization.

What Could be the Next Move that Could Prevail in Dogwifhat (WIF)?

The fading interest of investors and traders in meme coins highlights an advancing caution towards high-risk assets amid increased volatility and correction falls. In addition, the cautious approach and ways among investors and traders signify a greater shift in the crypto market’s sentiment.

WIF Total Liquidations Chart | By Coinglass

Furthermore, it is observed from derivatives data that OI has decreased in WIF from $216 Million to $212 Million, reflecting a cautious stance among the traders and investors. Likewise, they are liquidating long positions which are at $1.41 Million rather than initiating new shorts, which lies at $255.22 K.

Furthermore, recent price action and whale behaviors highlight that the bearish trend for WIF may continue. The psychological support of $2.0 has turned resistance now after the WIF price breached it recently. The further deterioration from here could be on the horizon if investors’ confidence does not rise.

Summary

Whales of Dogwifhat (WIF) memecoin on Solana have sold off large quantities. The market shows moderate liquidity with recent positive price movement despite bearish signals.

Overall, the market cap peaked at $4.0 Billion before falling more than 55%, ranking 50th. Fading interest in meme coins reflects caution towards high-risk assets amid volatility. Traders are liquidating long positions as OI decreases. The bearish trend for WIF may continue if the $2.0 resistance holds firm.

Disclaimer

In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.

Anurag S

Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.