Key Takeaways:
The Solana-based meme coin Dogwifhat (WIF) saw its price increase by more than 30% to a high of $0.263 after securing a listing on the major South Korean exchange Upbit.
However, derivative market data suggests retail trader conviction in the rally may be fragile. "Perpetual futures Open Interest for dogwifhat averaged roughly $139 million on Wednesday, a sharp decline from the record $643 million reached in July," according to data from CoinGlass, indicating traders are not aggressively entering the market.
The token faced a major rejection at the $0.2600 resistance level, retracing to trade near $0.223 at press time. While the Moving Average Convergence Divergence (MACD) indicator signals bullish momentum, the Relative Strength Index (RSI) on a four-hour chart reached 76, indicating overbought conditions that could prompt a correction. Bulls are now watching to see if the price can establish the 100-day Exponential Moving Average, near $0.2260, as a new level of support.
The Upbit listing provides a significant liquidity boost for WIF, but the weak derivatives participation raises questions about the rally's sustainability. For the uptrend to continue, the token must overcome the $0.2600 resistance. A failure to hold support at $0.2260 could see the price fall back toward the 50-day EMA at $0.1930 or the deeper support level at $0.1666.
This article is for informational purposes only and does not constitute investment advice.
