- Dogwifhat broke out of a symmetrical triangle and reclaimed support at $2.978.
- Market dynamics, including long/short ratios and volume, suggest lasting recovery potential.
Dog Hat (WIF) has been making waves in the crypto market, climbing 6.63% over the past 24 hours to $3.29, signaling renewed bullish momentum.
At press time, trading volume jumped 19.38% to $1.02 billion, reinforcing growing interest in the asset. After breaking out of a critical symmetrical triangle pattern, WIF appears poised for higher price targets. The question remains: can it maintain this upward trajectory?
WIF Bullish Breakout Paves Way for Rally
Dogwifhat’s breakout from the symmetrical triangle pattern has caught the attention of traders. The trend indicates a shift from consolidation to bullish momentum.
Additionally, WIF reclaimed its critical support level of $2.978, a key area that could now serve as a springboard for further gains. Therefore, traders are eyeing the next price target at $4.822, representing a potential upside of 43.63%.
From a technical perspective, WIF is showing strong bullish signals. The MACD moved to a positive reading of 0.259, with the signal line slightly back at 0.245, confirming a bullish crossover. This suggests that momentum remains firmly on the buyers’ side.
Additionally, the Stochastic RSI is at an oversold level, at 19.11, indicating that the asset may consolidate briefly before continuing higher. The breakout, coupled with these indicators, suggests that WIF has significant upside potential in the near term.
Source: TradingView
Are the bulls or bears in control? Long/short ratio analysis
Long/short ratio analysis offers more insight into market dynamics. Currently, short positions slightly outweigh long positions, with 54.27% of taker volumes made up of short positions, compared to 45.73% of long positions.
However, this bearish sentiment could work in favor of the bulls. If WIF price rises towards the $4.822 target, it could trigger a short squeeze, forcing bearish traders to close their positions and driving prices even higher.
Additionally, increased trading volume indicates increased interest, potentially fostering bullish momentum.
Source: Coinglass
The social dominance of the WIF takes a hit but the fundamentals remain solid
Interestingly, WIF’s social dominance fell to 0.215 from 0.287 the day before. While this signals a slight reduction in community engagement, the break above $2.978 and the subsequent rally highlights that price action is driven more by technicals than social sentiment.
Nonetheless, monitoring social activity remains important, as renewed engagement could amplify WIF dynamics.
Source: Santiment
Realistic or not, here is the market capitalization of WIF in terms of BTC
Is $4,822 within reach?
Dogwifhat is currently positioned for further gains, supported by strong technical indicators and increased trading volume. The MACD crossover, weak Stochastic RSI reading, and break above $2.978 as support indicate strength.
With bullish momentum building, WIF appears on track to reach its target of $4,822. Sustained volume and overcoming intermediate obstacles will be essential to confirm this upward trajectory.
