Dogwifhat Momentum Drops as Price Crashes by Over 10%

The momentum behind the trending memecoin Dogwifhat (WIF) has dropped after its price crashed by over 10% in the last 24 hours. The Solana-based token launched in November 2023, made headlines last month when it exhibited an exponential growth sending the coin to an all-time high.

At the time, WIF surpassed all expectations as it rose in value to $4.74 becoming the third-largest memecoin in the market in place of Pepe (PEPE). The rally created a buzz beyond the memecoin community all through the entire crypto market.

However, the excitement was shortlived after its value took a nosedive on April 4, plunging over 10% to trade at $3.53 amid the global crypto market correction. Nevertheless, WIF has recovered some losses after a slight increase to $3.89 at the time of writing.

Dogwifhat experiences massive dump

The significant price reduction can be attributed to selling pressure and massive dumps by investors which led to a drop of more than 10% over the last day. However, in hindsight, WIF still enjoys a 24% surge in the last seven days and a massive 126% surge in the last month.

From the technical point of view, a rounding top pattern can be observed in the 4-hour trading timeframe, stressing a significant bearish sentiment surrounding the memecoin.

Furthermore, a downward trend is shown by the Simple Moving Average (SMA), suggesting that the WIF token’s price may drop soon. A continuous red histogram is displayed by the Moving Average Convergence Divergence (MACD) indicator, indicating a rise in selling pressure relative to purchasing pressure in the cryptocurrency market.

Dogwifhat maintains top memecoin status

Despite the bearish sentiment and selling pressure surrounding WIF, the token still occupies its position as one of the three largest memecoin by trade volume just behind Dogecoin (DOGE), and Shiba Inu (SHIB). The token may be one of the top gainers during a market reversal as it will aim to reach and break its previous high of $4.7.

At press time, CoinMarketCap data shows that the trading volume of WIF has also plummeted to $559,554,875 ($559.5 million) representing a 35% decrease in the last 24 hours. Additionally, its market cap has grown by 2.42% to $3,879,072,842 ($3.8 billion).

Notably, the total memecoin market cap now rests at $59.5 billion, indicating a 3.45% drop in the last 24 hours with a trading volume of $8 billion.