The Dogwifhat price has formed a bullish pattern, indicating that the price is likely to recover after a strong upward move and correction. As market analyst Ali noted, the TD Sequential indicator on the 4-hour chart generated a buy signal. This signals that the trend has changed and may go up.
Meme Coin is on the move as it bounces off local support at $3.40. The analyst set the target at $3.80, considering that the token will be able to overcome initial resistance levels.
Technical analysis of Dogwifhat price: signs of a bullish rebound
The TD Sequential indicator is used to identify trend reversals. This gave a buy signal for WIF on the 4-hour chart.
This green “9” candle suggests the possibility of an upward move, which could lead to short-term price changes. WIF remains bullish at $3.40, which remains a support level with higher lows indicating continued buying interest and sustained price action.
However, Dogwifhat’s price has risen from $2.50 to over $4.00, proving market demand for the token. Even after the market correction, price consolidation around $3.50 suggests more buyers are entering the market, suggesting the possibility of another bull run.
A break above $3.60, another key resistance level, would signal more strength in the price move towards the $3.80 level, according to the analyst’s forecast.
Resistance and support levels in focus
Dogwifhat’s price faces significant resistance at $3.60, the initial level that needs to be broken to support the bulls.
A break above this level will confirm the buy signal from the TD Sequential indicator and open the way for the price to test $3.80, the analyst’s target.
Beyond that, the next major area of psychological resistance is between $4.00 and $4.25. If this area is cleared, there will be an option to continue, which could result in the WIF increasing to $5.00.
On the other hand, $3.40 remains a key support level. This zone remained untouched during the recent consolidation phase and provided support for the current rally.
But failure to maintain this support could push WIF back to $3.30, with the 20-day SMA at $2.87 acting as another support level.
Dogwifhat Market Sentiment and Outlook
The overall market view of WIF remains moderately positive based on technical indicators and rising momentum.
The RSI at 60.10 could indicate neutral after being overbought as it fell from that level and is now recovering.
Additionally, the token is currently close to the upper Bollinger Band, meaning some correction is possible in the short term before it attempts to move higher.
If WIF consolidates above $3.40, it could gain the strength needed to test and break $3.60, setting the stage for a rally to $3.80 and beyond.
However, a fall below $3.30 could change sentiment, leading to a deeper correction. The coming days will be crucial as traders will monitor whether WIF can maintain its bullish momentum or whether profit taking will weaken its upward trajectory.
