- WIF’s Open Interest dropped alongside its price.
- Bearish sentiment remained dominant on SHIB and DOGE.
Meme coins such as dogwifhat [WIF], Shiba Inu [SHIB], and Dogecoin [DOGE] have created buzz with their volatile price actions in the recent past.
But as the market condition turned bearish, these tokens lost a substantial amount of their market caps.
WIF might turn bullish soon
WIF, one of the newest entrants in the meme coin ecosystem, entered the market with a storm. It swiftly climbed up the ladder and surpassed PEPE in terms of market capitalization.
The past week was also in the best interest of investors, as the token’s value surged by 19%. However, the tables turned in the last 24 hours as its price sank by 9.6%.
At the time of writing, WIF was trading at $3.67 with a market cap of over $3.66 billion. But things can again turn in investors’ favor, as suggested by a few metrics.
WIF’s Funding Rate dropped, meaning that derivatives investors were not buying WIF at its lower price. Additionally, its Open Interest also went down.
A drop in the metric usually suggests that the possibility of a trend reversal is high.
Source: Santimernt
We then checked WIF’s 4-hour chart to see what indicators had to suggest. As per our analysis, WIF’s Money Flow Index (MFI) registered a downtick from the neutral mark, which was bearish.
However, its Chaikin Money Flow (CMF) took the other route and went upwards, hinting at a price uptick. In order for WIF to initiate a bull rally, its price might go above its 20-day SMA.
The Bollinger Bands also showed that at press time, WIF’s price was resting just under its 20-day SMA.
Source: TradingView
What are SHIB and DOGE up to?
While WIF’s weekly chart was green, the case with SHIB and DOGE was different. Both meme coins registered double-digit declines in the last seven days.
According to CoinMarketCap, Shiba Inu and Dogecoin’s values dropped by over 3% and 5%, respectively, in the last 24 hours. At press time, SHIB was trading at $0.00002626, and DOGE had a value of $0.1745.
Their negative price action impacted social metrics too. For instance, both SHIB and DOGE’s Weighted Sentiment dropped, indicating bearish sentiment was dominant in the market.
However, while DOGE’s Social Volume dropped, SHIB’s metric went up, reflecting the latter’s popularity in the crypto space.
Source: Santiment
Read Dogecoin’s [DOGE] Price Prediction 2024-25
SHIB’s daily chart revealed that, unlike WIF, SHIB’s CMF continued to go sideways. The Relative Strength Index (RSI) also followed a similar route, suggesting that investors might witness slow-moving days ahead.
Source: TradingView
Dogecoin’s RSI looked similar to that of SHIB, as it went sideways too. Additionally, its MACD displayed a bearish crossover. This looked concerning as it indicated a further price drop in the coming days.
Source: TradingView
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