Dogwifhat (WIF) Price Crashed Below the Key Support at $2 This Week

Solana meme coin Dogwifhat (WIF) crashed below the key support at $2 this week, mirroring the performance of Bitcoin (BTC) and other solana meme coins.

WIF dropped to a low of $1.8520, marking a decline of over 61% from its peak in November. The price also fell by 6.1% during the past 24 hours.

Some investors took profits from the recent rally, leading to a decline in WIF.

Nansen data showed that several top WIF investors began cashing out. The leading investor earned $10.8 million in profits and sold $2.4 million worth of his holdings.

As illustrated below, other top investors also offloaded a significant portion of their tokens.

One WIF whale remains optimistic about a rebound once the market stabilizes.

According to LookOnChain, the whale purchased 7.25 million WIF tokens valued at $13.34 million on Tuesday. Notably, the same investor also bought other Solana meme coins, including Popcat, Fwog, and Michi, indicating an expectation of a recovery in the meme coin space.

A mysterious whale bought 7.25M $WIF($13.34M), 5.77M $POPCAT($3.83M), 4.57M $FWOG($922K), and 3.9M $michi($467K) today.

Address:https://t.co/vBJwiesB3chttps://t.co/qY0DD5sQhE pic.twitter.com/pnAH1D1F1U

In other news, data from Nansen showed that more WIF tokens were being moved off exchanges, which is usually interpreted as a positive sign.

The number of tokens held on exchanges dropped to 433.28 million, down 0.32% from the previous week.

The total supply of WIF on centralized exchanges also decreased by 0.17% to 43.22% over the same period. As shown below, the token recorded an outflow of $24.1 million from centralized exchanges in the past 24 hours, which is ten times higher than the recent average.

Tokens leaving exchanges is a good sign since investors are optimistic that it will bounce back once the ongoing crypto rout ends.

WIF price analysis as it sits at a key support

The daily chart showed that Dogwifhat has been in a strong downtrend since peaking at $4.7870 on Nov. 13. The price has now pulled back to $1.82, an important support level that aligns with the lowest swing point from August last year.

The coin’s 50-day and 100-day moving averages have formed a bearish crossover. It has also formed a bearish flag chart pattern consisting of a long vertical line and a rectangle-like pattern.

Moreover, the price chart shows a double-top formation with a peak at $4.78 and a neckline at $1.093. This pattern suggests a potential bearish breakout, with sellers likely targeting the next major support level at $1.093, which is 43% below the current price.