Dogwifhat Token ($WIF) Shows Signs of Recovery, Gains 20% Following Coinbase Listing

The Dogwifhat token ($WIF), a meme-inspired cryptocurrency, has recently shown signs of recovery, gaining over 20% in the past week.

The Dogwifhat ($WIF) token, a meme-inspired cryptocurrency, has shown signs of recovery in the past week, gaining over 20% from recent lows. This uptick follows the token’s listing on the leading cryptocurrency exchange, Coinbase.

As WIF price attempts to sustain buying pressure, the TD Sequential indicator, a technical tool for identifying trend reversals, has issued a buy signal. This signal appears on the chart as a green nine candle and can indicate a potential increase in the Dogwifhat price to $3.8, up from its current $3.5.

The TD Sequential indicator works by analyzing a series of nine price bars, and a buy signal typically suggests the exhaustion of downward trends. However, it’s important to note that this indicator can also be used to identify potential sell signals.

While this technical indicator signals a possible upward move, the broader data points to challenges in network activity and sentiment for the Dogwifhat token.

Active Wallet Addresses Drop Despite Price RecoveryThe Dogwifhat token is experiencing a significant drop in user activity despite showing potential for price recovery. Active wallet addresses, which measure unique daily user interactions, have dropped substantially.

After reaching a high of 17,000 on Nov. 13, active wallet addresses for the Dogwifhat token have dropped to 3,692 within a week. This coincides with a decrease in the Dogwifhat price from $4.20 to its current price of $3.11.

Historically, declining wallet activity has often indicated reduced engagement and lower market momentum. The last significant spike in active wallets marked the highest level of activity since March 14.

Bearish Sentiment, Weak Momentum Challenge $WIF PerformanceFurther adding to these challenges, market sentiment around the Dogwifhat token is largely bearish. According to data from Santiment’s weighted sentiment metric, discussions about $WIF have remained in the negative territory.

Historically, bearish sentiment has often aligned with further price weakness, potentially putting additional pressure on the Dogwifhat price.

Technical indicators also point to fading momentum. For example, The Awesome Oscillator (AO), which measures momentum by comparing historical and recent price data, has started displaying red histogram bars.

These readings suggest that bullish momentum is weakening, even though the indicator remains slightly positive. If bearish trends persist, the Dogwifhat price could decline further, with technical indicators pointing to levels as low as $2.69.

However, if there is renewed engagement or a shift in sentiment, we could see $WIF price pushing back toward the $4.79 range. For now, conflicting signals keep the token’s outlook uncertain.