- WIF registered a huge increase in market capitalization in recent days, while also moving closer to PEPE
- Social volume and sentiment around WIF declined despite the price increase
Dog hat [WIF] has been one of the most popular memecoins on the market in recent months. While the memecoin once had its fair share of ups and downs, it appears that the altcoin is now well on its way to breaking into the top 3 of the memecoin sector.
A WIF of success
In recent days, WIF’s market capitalization has increased significantly. As a result, WIF is now very close to overtaking PEPE’s market capitalization and position.
Source: CoinMarketCap
However, if WIF wants to surpass PEPE and claim the number 3 position, WIF’s price would have to rise significantly higher. Although WIF rose by a significant 25% in just 24 hours, it was unable to reverse the prevailing market trend. In fact, until the most recent price surge, the memecoin was on its way down, hitting multiple lower lows and lower highs on the charts.
For WIF to break this bearish trend and potentially push itself towards the $4,382 level, it would need to test and move past the $3,594 level.
However, it is worth noting that the CMF (Chaikin Money Flow) for WIF was on its side and was up significantly – a sign of rising money flow and buying pressure.
However, the RSI recorded 74.86, indicating that despite all the bullish momentum, the price may be in the overbought zone. Ergo, WIF could see a correction in the coming days before moving higher again.
Source: trading view
Looking at the social issues
A large majority of WIF’s price increase can be attributed to the social volume surrounding the WIF token. However, in recent days, the social volume around WIF has decreased, which could cause huge problems for the price of WIF in the future.
Moreover, weighted sentiment around WIF also decreased, indicating that the number of negative reactions around WIF was growing.
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On the other hand, social volume around PEPE remained consistent while weighted sentiment grew. The positive outlook surrounding PEPE on social media platforms could give PEPE the right amount of edge needed to maintain its number 3 position in the memecoin sector. Especially since PEPE also rose by double digits in the charts in addition to WIF.
Source: Santiment