Dog Wif Hat (WIF) has broken out to around 10% on Friday, and looks to be one of the leading altcoins for what could be an overdue relief rally. Will the $WIF bounce continue, and is the altcoin bottom now in?
Memecoins the new market sentiment indicator
In past bull markets, analysts would perhaps look at large altcoins such as Ethereum (ETH) to lead a rally up from the bottom of a correction. These days, a glance at Dog Wif Hat (WIF) can give a sign of how confident the retail market is feeling.
Times have really changed, and memecoins have arguably become even more popular this bull market than the last one. Some of the more serious traders and analysts are now turning some of their attention to the memes, given that this is the niche that is running the hottest, as long as bitcoin is going up of course.
$WIF breaks out
Source: Coingecko/TradingView
$WIF is certainly running hot right now. From a nadir of $2.25 earlier on Friday, the price rose as much as 30%, before settling down at the current price of $2.84.
$WIF price predictions
Source: Coingecko/TradingView
So where could the $WIF price go from here? Obviously, it is very, very early to be saying that the current bitcoin/altcoin rally will even be sustained. That said, a potential easing in the Middle East conflict, and positive moves in the $BTC price, are pointing towards some kind of recovery, and therefore the altcoin bottom could be in.
If the recovery continues, $WIF is likely to be one of the altcoins in the vanguard of that recovery. Firstly, a return to the 0.618 fibonacci is the next target at $3.76, followed by the 0.786 at $4.26. The all-time high awaits at $4.92, and there are the aspirational targets for the ongoing bull market of $6.76 (1.618) and $9.75 (2.618).Â
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