Futures traders are taking big bets on Dogwifhat (WIF), a Solana-based memecoin, even as its price struggles to rebound from a significant dip. Trading 66% below its March all-time high of $4.70, WIF has attracted renewed attention with analysts pointing to a potential reversal in the market.
Futures Market Sees A Boost
Data from CoinGlass shows that since August 31, Dogwifhat’s open interest (OI) — the number of unsettled futures contracts — has jumped by 16%, reaching $231.48 million. Despite this uptick in futures activity, the memecoin’s price has continued to slide, dropping 17% since August 25 to $1.57, according to CoinMarketCap.
While the token has struggled to break past $1.90 for over 10 days, some traders believe this period of stagnation is only temporary.
Traders Anticipate a Rebound
Pseudonymous crypto analyst Bluntz recently pointed out on X (formerly Twitter) that Dogwifhat is forming what appears to be a “perfect channel retest.” He added, “Nobody is ready for the V reversal that’s about to happen.” According to Bluntz, WIF could see a sharp bounce back to $2.40, a level it hasn’t reached since July 30.
Other traders share Bluntz’s optimism. Another pseudonymous analyst, zer0, echoed similar sentiments, claiming the asset “looks ready for its next leg up.” The increased futures activity, coupled with these bullish predictions, suggests that market participants are preparing for a reversal in the coming days.
Adding to the bullish case, Dogwifhat has recorded a significant spike in trading volume. Since September 4, WIF has logged $327.6 million in total trading volume — nearly double that of Shiba Inu (SHIB), the second-largest memecoin by market cap. This surge in trading activity signals growing interest, even as the price remains subdued.
A Rough Year for Dogwifhat
Despite the recent buzz, WIF has had a turbulent year. After hitting its all-time high of $4.70 in March, the token has lost much of its momentum. A crowdfunding campaign in March aimed to promote the coin by featuring a Dogwifhat mascot on the iconic Las Vegas sphere, raising nearly $700,000. However, the campaign has yet to deliver on this promise, with organizers maintaining optimism that the stunt will still happen.
Also Read: DogWifHat (WIF) Soars 13% To $1.58 – Crypto Whale Frenzy and September Surge Predictions Point To $5
Arthur Hayes, former CEO of BitMEX, also expressed bullish sentiment earlier this year, saying, “The hat stays on while I count to $10.” Despite such enthusiasm, the broader altcoin market has lagged behind expectations. Some analysts believe this is due to new crypto traders jumping into speculative assets prematurely.
While Dogwifhat’s price remains far from its highs, the increased futures activity and predictions of a potential reversal indicate that traders are keeping a close eye on the token. With its price currently hovering around $1.57, a sharp rebound could be on the horizon — but whether it materializes remains to be seen.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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