The popular Solana meme coin, Dogwifhat (WIF), has seen a significant drop below $2 this week, facing considerable double-digit declines as interest from investors in the meme coin fades.
Significant 26% Decline in Dogwifhat Price
Dogwifhat is currently trading at $1.8, experiencing strong bearish pressure as market volatility takes its toll. The cryptocurrency has plummeted by 25.72% in the past week, with over $16 million worth of WIF tokens being sold by anonymous investors, leading to increased selling pressures and a decline in market value.
Continuous liquidations by investors often trigger sell-offs and market value declines, especially in highly volatile and speculative assets like Dogwifhat, making it susceptible to minor market changes and sell-offs.
Recent movements of large amounts of WIF tokens to exchanges suggest potential sell-offs, further threatening the price stability of Dogwifhat.
Since early June, Dogwifhat has underperformed, dropping nearly 40% in the past month, after hitting an all-time high of $3.97 in March, becoming the third largest meme coin by market capitalization at one point.
The Future of WIF
If selling pressures persist, WIF could face more declines, potentially pushing the price below $1. Industry experts like Ki Young Ju have expressed bearish sentiments towards meme coins, signaling a shift away from speculative investments towards a focus on market fundamentals.
Investors are advised to reconsider their positions in the meme coin market as the era of easy profits from meme-based cryptocurrencies may be coming to an end.
Image source: Sad and useless humour, chart from TradingView
