Dogwifhat (WIF), a meme coin on the Solana blockchain, has seen a 30% price increase in the last week. However, this surge comes with increased market volatility, putting the sustainability of its rally in question.
Indicators like widening Bollinger Bands and a rising Average True Range (ATR) show increased volatility. The ATR has been trending upward since September 17.
Moreover, the low increase in new demand, as shown by only a 1.50% rise in new holders over the past week, indicates potential weakness. Often, such uptrends driven by speculation are prone to reversals.
Price predictions suggest that WIF could fall to support levels of $1.96, and potentially to $1.07 if buyers become exhausted. On the other hand, if speculation continues, the price could surge by 75% to $4.04.
