Popular meme coin DogWifHat ($WIF) is facing a ruff time. After failing to hold above $2, the price plunged 7% to its current level of $1.73. This adds to a heavy week, with DogWifHat experiencing a 24% drop in the past seven days.
Meanwhile, the crypto world is abuzz with the success of a new AI-themed meme coin that recently secured a whopping $7.2 million in funding. This contrasting situation raises questions about DogWifHat's future.
Analysis Points to Downward Trend
Experts point to a troubling trend for DogWifHat. The token is struggling to maintain previous support levels, with resistance encountered around $2.50 since mid-June. This is a significant drop compared to May, where support held firm at $2.50. The current bottom sits precariously at $1.50, indicating a potential freefall if this support crumbles.
A silver lining might be the rising Relative Strength Index (RSI) of 48, hinting at possible short-term stability. However, analysts warn that continued losses by market leader Bitcoin could drag DogWifHat's price further down.
DogWifHat vs. The New AI Contender
The success of the new AI meme coin adds salt to DogWifHat's wounds. While details about the AI coin are scarce, its ability to raise such a significant amount suggests strong investor interest in the AI narrative within the meme coin space. This could potentially pull attention and investment away from DogWifHat.
Is There Hope for DogWifHat?
DogWifHat's future remains uncertain. The downward price trend and the emergence of a strong AI competitor paint a bleak picture. However, the cryptocurrency market is known for its volatility. If DogWifHat can generate positive news or pivot its strategy, it might still claw its way back. Only time will tell if DogWifHat can weather this storm.
July 2024, Cryptoniteuae