Solana meme piece, Dogwifhat (WIF), crashed below $2 this week, witnessing a double-digit decline as investor interest in the popular meme coin begins to wane.
Dogwifhat crashes 26%
THE Dogwifhat price is currently trading at $1.8 as the dog-themed meme coin continues to see massive bearish pressure due to the current market volatility. The value of cryptocurrency has crashed massivelydown 25.72% in the last seven days.
The reason for this unexpected decline has been attributed to recent selling pressure from WIF investors. Data by Solscan revealed that more than $16 million worth of WIF tokens were sold by anonymous cryptocurrency investors over the past week. This includes small amounts of tokens and large amounts of hundreds of thousands of WIF coins.
Typically, when a cryptocurrency experiences continued liquidations from investors, it triggers selling pressure, resulting in a decline in its market value. In the context of Dogwifhat being a meme coin, its price is very volatile and speculative, making it extremely vulnerable to minor market changes and sell-offs.
Unfortunately, more and more whales are starting to sell their WIF token. Blockchain analytics platform, Lookonchain, disclosed in an X (formerly Twitter) job On June 22, an anonymous whale deposited an astonishing 12.66 million WIF tokens, worth $23.4 million to Binance.
Typically, a transaction that involves moving coins from a wallet to a crypto exchange often signals the possibility of an impending sale. If selling pressures persist on Dogwifhat, the popular cryptocurrency could see its price continues to fall to new lows.
Since the beginning of June, Dogwifhat’s performance was poor, recording more declines than most meme coins on the market after a nearly 40% collapse over the past month. Cryptocurrency before reached a record level from $3.97 in March, toppling Pepe (PEPE) at one point to become the third largest coin by market capitalization.
At the time of writing, Dogwifhat ranks as the fourth largest coin, with a market capitalization of $1.8 billion, according to CoinGecko. Four of the five largest coins even by market capitalization, including Dogecoin (DOGE), Shiba Inu (SHIB), Pepe and Floki (FLOKI) experience slight gains. However, Dogwifhat continues its downward trend, falling 2.13% in the last 24 hours, according to CoinMarketCap.
What’s next for WIF?
If selling pressures persist, WIF price could see more declines, which could potentially push the price of the cryptocurrency higher. price less than $1. The founder and CEO of CryptoQuant, Ki Young Ju expressed bearish sentiment for meme coins in the market.
According to Ju, the coin domination in the altcoin market began to decline. He sharing a price chart depicting the performance of the meme coin market from 2022 to 2024, highlighting that investors will eventually begin to shift from gambling to focusing on market fundamentals.
He urges investors to leave the coin marketindicating that the era of easy profits from meme-based cryptocurrencies may be over.
Featured image of Sad and Pointless Humor, chart by TradingView
