Dogwifhat in golden zone: Can the memecoin hit $4.90 now?

• Coinglass’s WIF Spot Inflow/Outflow data showed that whales and investors had withdrawn massive tokens from exchanges.
• WIF could soar by 60% to reach the $4.90 level if it maintains its position above $3.

Despite major price declines across the cryptocurrency landscape, Dogwifhat [WIF], the popular Solana-based memecoin, has remained stable at the 0.618 Fibonacci retracement level.

For a week, WIF’s price has been consolidating within a tight range between $3.02 and $3.37, which equals the Fibonacci golden zone of 50% and 61.8%.

Rising whale activity 

Amid this ongoing price consolidation, whales, and investors appear to have shown strong interest and confidence in the memecoin, as reported by on-chain analytics firm Coinglass’s WIF Spot Inflow/Outflow data.

Source: Coinglass

According to the data, whales, and investors have withdrawn WIF tokens worth $62.23 million from exchanges. This significant withdrawal by industry giants indicates a potential buying opportunity and a possible upcoming rally in the days ahead.

However, traders appear to have liquidated their open positions due to the prolonged price consolidation. At the time of writing, WIF’s Open Interest (OI) declined by 6% in the past 24 hours, indicating lower participation from traders. This suggests they might be waiting for a breakout from the consolidation.

Dogwifhat’s technical analysis key levels 

According to AMBCrypto’s technical analysis, WIF is at a Fibonacci golden zone. This is a key level where the price is likely to either reverse or continue its trend.

Traders and investors use this level to determine the perfect support and resistance for any asset.

Source: TradingView

WIF’s price prediction 

Based on recent price action, if WIF maintains its position above $3, there is a strong possibility it could soar by 60% to reach the $4.90 level in the coming days.

On the positive side, the memecoin’s Relative Strength Index (RSI) suggested that WIF had sufficient room to experience a significant rally. The RSI stood at 50.56, indicating that the asset is neither in the oversold nor overbought zone.

Combining all these metrics with technical analysis suggests that bulls are currently dominating the asset and could provide strong support for an upcoming rally.

Realistic or not, here’s WIF’s market cap in BTC’s terms

At press time, WIF was trading near $3.06 and has experienced a price drop of over 7% in the past 24 hours.

During the same period, its trading volume dropped by 47%, indicating lower participation from traders and investors compared to previous days.