- Dogwifhat (WIF) has surged 60% in a week and 21% in 24 hours.
- Derivatives volume has soared to $1.06B, and the open interest has risen to $301M.
- The 14-day RSI is above 72, indicating overbought conditions.
Dogwifhat (WIF) rose sharply, gaining 60% over the past week and 21% in the last 24 hours, reflecting heightened volatility in the memecoin space.
The gains outpaced broader movements in the sector, where the total memecoin market cap increased 3.4% in the past day to $59.9 billion.
The rebound comes amid increased investor interest and a shift in risk sentiment across the crypto market.
Besides Dogwifhat, other leading meme tokens like Pudgy Penguins (PENGU), Official Trump (TRUMP), and ai16z (AI16Z) have each posted double-digit gains, further stoking enthusiasm among traders and speculators.
Increased market activity
Derivatives activity has heated up, with the open interest surging by roughly 30% to $301 million while aggregated trading volume topped $1.06 billion, according to Coinglass data.
On spot markets, WIF’s 24-hour trading volume has swelled to $383 million, reflecting the rally’s broad-based appeal among Solana-based memecoins on both decentralized and centralized exchanges.
Much of the recent strength has been driven by whale accumulation, with significant buy orders lifting prices off prior support levels and signaling confidence among larger holders.
Dogwifhat RSI enters overbought region
From a chart standpoint, WIF has cleared resistance around $0.58, placing the next significant hurdle at $0.769, which will test the conviction of buyers eyeing further gains.
On the downside, the critical support level lies at $0.334, a floor that must hold to prevent a steeper decline, as a breach there could trigger a sharp decline.
However, technical indicators now warn that momentum may be peaking, as the 14-day Relative Strength Index (RSI) reading on the daily chart has spiked above 72, squarely in overbought territory.
Breaches into overbought territory typically precede a cooldown.
That said, investors should keep an eye on the support at $0.334, which, if breached, could spell doom for the meme coin.
Nevertheless, market sentiment remains broadly bullish, though the confluence of stretched technicals, elevated leverage, and robust volume underscores the need for prudent risk management.
Longer-term investors point to WIF’s still-modest market cap of $643 million as evidence that significant upside could materialize if the meme coin rally retains momentum.
Analysts note that WIF’s outperformance relative to benchmarks like Bitcoin (BTC) and Ethereum (ETH) underscores its appeal as a high-beta play within the crypto ecosystem.
As the dust settles, participants will be watching volume profiles, funding rates, and social engagement metrics to gauge whether the current rally can hold or if deeper profit-taking is on the horizon.
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Source: https://coinjournal.net/news/dogwifhat-wif-price-jumps-60-as-meme-coin-market-rebounds-but-pullback-signs-appear/