- A whale has sold nearly 1 million WIF tokens.
- If bearish trends continue, a massive sell-off may occur, driving WIF down to $0.90.
The overall cryptocurrency market experienced a massive downturn, and the world’s fifth-largest cryptocurrency, Solana [SOL], along with its associated tokens, saw a massive sell-off.
Whale offloads $1.65 million WIF tokens
Amid this selling pressure, on the 4th of July, a whale was caught selling a significant 900,000 dogwifhat [WIF] tokens worth $1.64 million onto ByBit, as data shared by an on-chain analytic firm Lookonchain.
According to the data, despite this massive sell-off, this whale still held a notable 974,000 WIF tokens worth $1.76 million.
The potential reason behind this massive sell-off is the current market sentiment and the notable price drop of Solana. According to CoinMarketCap, SOL has experienced a price drop of over 8% until press time.
Another reason contributing to the bearish market sentiment is the update on Mt. Gox BTC repayments and an expert update on the spot Ethereum [ETH] ETF, which is likely to be postponed this time.
Due to these factors, WIF has lost over 11% of its value as well.
WIF technical analysis
At press time, WIF was at a strong support level of $1.6, and appeared to be forming a bullish double-bottom pattern with a doji candle.
This is the third time since March 2024 that WIF has reached this level, and each time traders and investors see a bullish upside move.
Source: TradingView
Due to the current market sentiment, this level becomes even more crucial.
If WIF fails to sustain this level and gives a daily candle closing below this support, a massive sell-off may occur, potentially driving the price down to the $0.90 level.
Additionally, sentiment was bearish as WIF’s Open Interest has dropped by 8%, meaning a lower level of interest and confidence from investors and traders.
Source: Coinglass
WIF price-performance analysis
At press time, WIF was trading near the $1.77 level, and in the last 24 hours, it experienced over 8% price drop.
In the same period, the trading volume experienced a notable jump of 60%, signaling investors’ and traders’ participation amid the market downturn.
Is your portfolio green? Check out the WIF Profit Calculator
If we look at the performance of WIF over a longer period, in the last seven days, with this recent drop it was down by 10%. Meanwhile, in the last 30 days, it lost over 45% of its value.
Besides WIF, other Solana-based meme coins such as Bonk [BONK], BOOK OF MEME [BOME], and cat in a dogs world [MEW] have lost 9%, 7%, and 8% of their values, respectively, per CoinMarketCap.
