Spotted as one of the major losers of the day, with 10% drops in the last 24 hours, WIF currently appears weak. However, its short-term bullish trajectory remains intact as it looks for solid support to bounce back.
Since the entire crypto market halted bearishness in August, WIF and other major meme coins have recovered well from their various lows, registering massive gains in the past few weeks. However, things have turned negative lately due to a decrease in the global market cap.
After failing to break above $3 in mid-October, WIF initiated drops and started to show signs of weakness daily. It eventually lost momentum and closed the monthly price under $2.4. Today, being the first day of a new month, it initiated drops and fell to $2.27.
A further drop from the current trading level could bring more losses in the market. While these drops look more like a pullback, the key retest point to watch for a rebound lies at the support trendline that broke as resistance in September.
However, if the $2 level holds as support, WIF may resume bullish at full speed as it forms a double-bottom pattern on the daily chart. It must overcome the previous monthly high to validate such a move. But as it stands now, the bears are still showing interest.
WIF’s Key Levels To Watch
If the price drops for the rest of the week, the meme coin may retest the $1.97 support, printed in October. Below it lies $1.625 and $1.35.
A push through $2.7 to the $2.9 resistance level could trigger a break up to June’s $3.5 high. The next resistance level to watch above it is $4.2 and $4.8 – considered as the major breakpoint for a long-term move.
Key Resistance Levels: $2.9, $3.5, $4.2
Key Support Levels: $1.97, $1.625, $1.35
- Spot Price: $2.35
- Trend: Bullish
- Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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