The memecoin dogwifhat (WIF) recovered from a sharp decline to regain the $0.20 price level amid a significant spike in trading volume. On-chain data indicated market makers were moving tokens for liquidity, while chart analysis showed the asset confined between key liquidity zones. The direction of the next major price move remained uncertain as bulls attempted to regain control.
The Solana-based memecoin dogwifhat (WIF) corrected its double-digit price decline from the prior day, rising back to the $0.20 level. Its trading volume also spiked by about 29%, reaching $102 million.
Data from Solscan showed market makers and exchanges were moving WIF tokens for liquidity purposes. For instance, the trading firm Wintermute transferred 763,000 WIF into its automated liquidity pool.
Technical charts revealed WIF had broken below the key $0.20 support level and tapped $0.18 before bouncing back. The price was retesting the $0.20 level, which now acted as resistance aligned with the middle Bollinger Band.
Only reclaiming this level would flip the price to at least target $0.26, the top of the sideways consolidation, according to the analysis. This scenario would mean the drop to $0.18 was merely a fakeout.
Market data indicated bulls were beginning to step in, as the Stochastic Momentum Index rebounded from extreme oversold conditions. The Aggregated Long/Short Accounts Ratio also rose to 1.87, showing more accounts were buying than selling at press time.
Furthermore, Open Interest (OI) leveled off and rose from $38 million to $47 million, affirming bullish intervention alongside the price action. Despite this, WIF’s direction bias was still considered unknown.
A liquidation heatmap indicated WIF was navigating between dense liquidity clusters at $0.18 and $0.21. Price tends to trade toward zones of high liquidity concentration, making the next move dependent on which cluster is triggered first.
