Solana-based meme coin Dogwifhat (WIF) experienced a nearly 50% surge in the last 24 hours, reaching a new local high of $0.5899. Additionally, Solana’s native token, SOL, saw a 10% increase and is now trading at $111.
Based on the Solana blockchain, this meme-inspired digital asset leads the charge in the broader meme coin rally.
Will Dogwifhat’s (WIF) Price Rise Further?
This surge in Dogwifhat’s value highlights meme coins’ volatile yet potentially lucrative nature. CoinMarketCap data reveals that the overall market cap for top meme coins rose by 13.1%, totaling $25.04 billion. Consequently, a heightened interest in altcoins is fueled by the broader market’s upward trend and speculative investments.
Interestingly, Dogwifhat’s price jump is rooted in a solid technical formation. The asset broke out from a cup and handle pattern, a bullish indicator suggesting more upside potential. Should Dogwifhat sustain its momentum above the crucial $0.4771 neckline, it could see an additional 25% increase, possibly reaching $0.6915 highs.
On the other hand, failing to maintain this level might signal a need for caution among traders.
Read more: 7 Hot Meme Coins and Altcoins that are Trending in 2024
The dramatic rise in Dogwifhat’s price has led to significant gains for astute traders. Blockchain analytics firm Lookonchain reported that one smart trader achieved an unrealized profit of nearly $582,000 from strategically acquiring WIF tokens.
Moreover, another trader’s journey from a modest investment of $310 to approximately $1.4 million highlights the transformative potential of meme coins. Such stories are becoming more frequent, drawing diverse investors to the volatile meme coins market.
“Trader spent 5.288 SOL($310) to buy 2.58 million WIF on November 26, 2023.Since the price of WIF has increased by ~50% today, the value of 2.58 million WIF has increased to $1.4 million,” Lookonchain elaborated
Read more: A Comprehensive Guide on Tracking Smart Money in the Crypto Market.
The overall market rally, particularly the surge in Dogwifhat’s price, reflects the speculative forces driving cryptocurrency valuations. While the possibility of substantial returns exists, investors must proceed with caution due to the inherent risks of meme coins and altcoins.
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