Key Takeaways
- Despite briefly pushing toward $0.50, WIF’s price faced rejection and has retraced to $0.37.
- WIF is currently moving within a descending triangle — a pattern that precedes further downside.
- The MFI has crossed above the signal line, with WIF eyeing an initial upside target of $0.75.
WIF, whose market cap once surpassed $4 billion in 2024, has seen its price fall by 13% in the last 24 hours. This pullback comes after WIF’s price showed readiness to move closer to $1 over the weekend.
However, as the memecoin value hit $0.50, it faced rejection and has remained trapped in a bearish pattern.
Despite that, the memecoin could be set for a bullish reversal. Here are the key levels to watch with analysis showing how WIF price might perform.
WIF Attempts to Escape Bearish Dominance
On the daily chart, WIF’s price has been trading within a descending triangle. A descending triangle is a bearish chart pattern that signals a possible breakdown to the downside—especially when it forms during a downtrend.
However, it can also appear in an uptrend as a continuation or reversal pattern.
As seen below, the pattern forms when a descending trendline forms lower highs with a flat horizontal bottom. This forces a price squeeze as it is with WIF.
You’ll Want To See This
At press time, WIF’s price, which trades around $0.37, attempts to break above the upper falling trendline. While that has not happened yet, the Money Flow Index (MFI) shows that a successful breakout above it is likely soon.
The MFI measures the level of buying and selling pressure around a cryptocurrency. When it falls, it indicates rising selling pressure.
However, the daily chart’s MFI reading has exceeded the 50.00 midpoint. This indicates rising buying pressure with the price decline, meaning that it has formed a bullish divergence.
If this trend continues, WIF’s price might break above the $0.50 resistance while targeting a move toward $0.75.
WIF Price Analysis: Possible Targets Revealed
Another indicator supporting the potential upswing is the Awesome Oscillator (AO). The AO measures momentum by comparing recent price movements with historical ones.
A reading above zero indicates bullish momentum. However, the momentum is bearish when the AO is below the signal line.
As of this writing, the AO reading stands at -0.020. However, the same indicator flashed a green histogram bar, indicating that WIF’s price action could switch from bearish to bullish.
If validated, the meme coin’s value might climb to $0.75, as mentioned earlier. This target could be higher in the case of intensifying buying pressure.
In that scenario, WIF’s price could climb to $1.27, at the 0.786 Fibonacci level.
On the other hand, if the MFI reading falls below the signal line, momentum becomes fully bearish. In that case, WIF might drop to $0.30 or below.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Was this Article helpful?
