Dogwifhat (WIF), the Solana meme coin, has seen a notable resurgence within the last two weeks. Following these gains, speculative activity around the cryptocurrency increased significantly.
Currently priced at $2.40 after climbing by 42% in a week, Dogwifhat's Open Interest has reached high levels, which historically indicates a potential price decline.
Open Interest, now at $322.12 million, might trigger a price decrease if it continues to climb. Previous spikes in Open Interest have led to significant price drops.
The liquidation heatmap supports this outlook, indicating significant liquidity at lower price levels like $2.25, $2.10, and $1.95.
From a technical standpoint, WIF's Relative Strength Index (RSI) is overbought, suggesting a 15% price downturn is plausible.
The token could, however, rebound and surpass resistance at $2.85 if buying pressure increases, potentially reaching $3.
