Solana-based memecoin Dogwifhat (WIF) has experienced a notable decline in open interest (OI), dropping from $353.4 million to $252.5 million within a week. This decline accompanies a broader price drop, with WIF currently trading at $1.67, down 35.48% since July 27. Analysts are predicting a retest of the $1.50 support level, a critical threshold for the token.
Market sentiment is cautious, with traders anticipating further corrections. Crypto analysts highlight that WIF is in a correction phase and likely to move towards the lower support trendline between $1.50 and $1.70. The decline in open interest indicates potential heightened volatility, with risks for both long and short positions.
Despite the downturn, Dogwifhat has previously shown resilience, rebounding into the top 50 cryptocurrencies by market capitalization. Investors are advised to closely monitor these developments as the market remains volatile and prone to rapid changes.
Disclaimer: Please note that the information provided in this article is based on the referenced research articles. It is essential to conduct further research and analysis before making any investment decisions. The cryptocurrency market is highly volatile, and investors should exercise caution and consult with financial professionals before engaging in cryptocurrency trading or investment activities.
