Will dogwifhat crash to $1.25? Examining WIF’s future in a bearish market

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dogwifhat has a bearish structure and sentiment and is more likely to fall toward $1 than embark on a bullish reversal.

was unable to scale past the psychological $2 level. Instead, the bulls were rebuffed from just beneath it a week ago, and the bearish outlook remained valid.In July, WIF made a bullish market structure break . It formed a local top at $2.895 and proceeded to fall to $1.07 asIts market structure was bearish, and it also saw a rejection from the 50% retracement level at $1.98. It appeared likely that the Fib extension levels below $1 are the next targets.

The daily RSI was at 38 to reflect a firm downward momentum. The CMF’s reading of -0.14 indicated sizeable capital flows out of the dogwifhat market over the past week.The data from the Futures market showed seller dominance. The Funding Rate was negative, indicating rampant short-selling. Also, the Open Interest has been in decline over the past week alongside the price.

Together, they captured the market participants’ willingness to sell WIF. The spot CVD’s downtrend reinforced this perspective.Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinionAkashnath Sumukar works as a Senior Journalist at AMBCrypto. Based in Chennai, India, he has been an avid follower of the cryptocurrency market since Bitcoin’s boom and bust cycle of 2017.

 

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