Key Takeaways:
- $0.70 support has held firm, but volume remains weak—caution is warranted.
- $1.07 and $1.39 are key levels for trend reversal and bullish structure confirmation.
- Momentum indicators like RSI and CMF show indecision and weak demand.
Dogwifhat [WIF] bulls successfully defended the crucial $0.70 demand zone on the higher timeframes, indicating resilience amid broader market volatility. However, with Bitcoin [BTC] range-bound between $100k and $111k, WIF’s momentum remains neutral, and the $1 psychological resistance could prove challenging in the short term.
AMBCrypto’s May forecast advised caution despite WIF’s breakout past $1.2, urging traders to wait for a clean flip of $1.26 into support. That level remains a key upside target—but getting there won’t be easy.
WIF Retraces to Fair Value Gap With Diminished Volume
On the weekly chart, WIF retraced its early May breakout to revisit the fair value gap (FVG) in the $0.70 range. This zone has served as a strong demand area, with bullish reactions visible despite the market’s pullback. However, the retracement occurred on declining trading volume—a sign that buyers are not yet fully committed.
A bullish market structure on the weekly timeframe would only be confirmed with a move above $1.39. Until then, bulls must contend with nearer-term resistance and indecision.
Daily Chart Shows Weak Momentum and Bearish Bias
The 1-day chart paints a more bearish picture. WIF remains below the $1.07 high from June 10, which is the key level to flip for short-term bullish momentum. The RSI sits at a neutral 50, offering no clear directional edge. Meanwhile, the Chaikin Money Flow (CMF) is negative at -0.03, showing a lack of strong capital inflows.
The Supertrend indicator has issued a sell signal, reflecting the ongoing bearish structure. Although this doesn’t mandate panic selling, it does urge caution—especially for those eyeing long positions.
Also Read: Dogwifhat (WIF) Price Analysis: Is a Breakout Past $1 Imminent?
Resistance at $1 Could Stall Further Upside
Breaking the $1 level is critical for any short-term bullish narrative. If WIF manages to reclaim that psychological barrier, it could open the door to a retest of $1.2 and potentially $1.26. However, with Bitcoin yet to confirm sustained upside and WIF showing weak demand, bulls face significant resistance.
For now, any long trades should be tightly managed with stop-losses just below $0.70—the last stronghold of demand.
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
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
