Solana meme coin, Dogwifhat (WIF), has crashed under $2 this week, witnessing double-digit declines as investor curiosity within the widespread meme coin begins to wane.
Dogwifhat Crashes 26%
The value of Dogwifhat is presently buying and selling at $1.8 because the doggy-themed meme coin continues to expertise large bearish stress from prevailing market volatility. The worth of the cryptocurrency has crashed massively, falling by a whopping 25.72% over the previous seven days.
The explanation for this surprising decline has been attributed to the latest promoting pressures from WIF buyers. Knowledge from Solscan has revealed that greater than $16 million WIF tokens have been bought off by nameless cryptocurrency buyers over the previous week. This consists of small quantities of tokens and huge sums of lots of of hundreds of WIF cash.
Usually, when a cryptocurrency experiences steady liquidations from buyers, it triggers promoting pressures, which ends up in a decline in its market worth. Within the context of Dogwifhat which is a meme coin, its value is extremely risky and speculative, making it extraordinarily vulnerable to minor market modifications and sell-offs.
Sadly, extra whales are starting to dump their WIF token. Blockchain analytics platform, Lookonchain, disclosed in an X (previously Twitter) submit on June 22, that an nameless whale deposited an astonishing 12.66 million WIF tokens, valued at $23.4 million to Binance.
Usually, a transaction that entails transferring cash from a pockets to a crypto trade usually indicators the opportunity of an imminent sell-off. If promoting pressures persist in Dogwifhat, the favored cryptocurrency may see its value falling additional to new lows.
Because the starting of June, Dogwifhat’s efficiency has been poor, recording extra declines than most meme cash out there after crashing by nearly 40% over the previous month. The cryptocurrency beforehand rose to an all-time excessive of $3.97 in March, flipping Pepe (PEPE) in some unspecified time in the future to turn into the third largest meme coin by market capitalization.
As of writing, Dogwifhat ranks because the fourth largest meme coin, with a market capitalization of $1.8 billion, in keeping with CoinGecko. 4 out of the highest 5 largest meme cash by market capitalization together with Dogecoin (DOGE), Shiba Inu (SHIB), Pepe and Floki (FLOKI) are witnessing slight features. Nonetheless, Dogwifhat continues on its decline pattern, dropping by 2.13% within the final 24 hours, in keeping with CoinMarketCap.
What’s Subsequent For WIF?
If promoting pressures persist, WIF’s value may witness extra declines that might probably push the cryptocurrency’s value under $1. The founder and CEO of CryptoQuant, Ki Younger Ju has expressed bearish sentiment for meme cash out there.
In line with Ju, the meme coin dominance within the altcoin market has begun to wane. He shared a value chart depicting the market efficiency of meme cash from 2022 to 2024, highlighting that exposed that buyers will ultimately start to shift from playing to focusing available on the market’s fundamentals.
He urges buyers to go away the meme coin market, indicating that the period of creating simple earnings from meme-based cryptocurrencies is perhaps over.
Featured picture from Unhappy and ineffective humour, chart from TradingView