$WIF Crashes Beneath $1: Is This the Starting of a Full Memecoin Meltdown?

$WIF plunged beneath $1 right now like a failed rocket launch, tumbling 7.5% as memecoin merchants braced for deeper losses. This breakdown threatens to tug your entire Solana memecoin sector into freefall.

Simply two weeks in the past, DogWifHat ($WIF) soared above $1.30, fueling hopes of a $2 rally. Now, with Solana weakening and 166,000 wallets dropping their capital, merchants face a brutal alternative. Will WIF crater to $0.50 or defy gravity with a pointy rebound?

$WIF’s Fast Drop Sparks Dealer Nervousness

The temper round $WIF is break up. Some see an extra collapse beneath $0.50, whereas others guess on a full restoration to double its present value. Current tendencies lean bearish, with brief sellers gaining momentum.

On June 4, skilled crypto dealer Bob Paulus shared a pessimistic outlook on WIF, pointing to a transparent downtrend in its every day market construction.

Merchants who acted on his brief place have seen good points of as much as 140%. The broader memecoin stoop has additionally performed a task in WIF’s decline.

Sector-wide buying and selling quantity has decreased by over 14% prior to now day, leading to an almost 2% decline in complete market capitalization.

Main memecoins, comparable to $DOGE, $PEPE, and $SHIB, have every misplaced at the very least 10% within the final week, reflecting fading momentum.

The market’s present trajectory suggests warning as merchants weigh additional draw back dangers in opposition to potential rebounds.

Solana Slips Towards $150—What That Means for $WIF and Different Memecoins

Solana’s struggles usually dictate the destiny of its memecoins, and proper now, the indicators are worrying. With SOL down greater than 12% prior to now week and hovering close to $150, considerations are rising.

The same drop beneath $140 in February led to heavy losses throughout Solana memecoins, and historical past could also be repeating itself.

Retail curiosity can also be cooling. Information from Dune Analytics reveals that whereas over 217,000 wallets traded Solana memecoins this month, solely 5 made income above $50,000.

However, roughly 166,000 wallets have been fully worn out, together with one high-profile dealer who misplaced over $1 million.

These tendencies recommend deepening pessimism within the memecoin market.

As Solana struggles, the tokens constructed on it face mounting stress, leaving merchants to query whether or not the downturn will proceed or if a reversal is imminent.

“Summer season Value Motion Is Trash”: Prime Binance Dealer Goes All-In on Shorts

Matter Trades, at the moment ranked #2 on Binance’s perpetuals leaderboard, isn’t betting on a turnaround. He’s been constructing brief positions since Bitcoin reached $111,000, citing his perception that summer season market circumstances are traditionally poor.

“Summer season value motion is trash—all the time has been, all the time will probably be,” he mentioned. “Everybody retains saying this time is completely different, but it surely by no means is.”

In response to Matter, the season usually favors sellers, as all pumps are swiftly bought out.

He additionally expressed skepticism concerning the latest altcoin hype, warning that macroeconomic components may worsen market circumstances additional.

“The U.S. housing market is flashing crimson flags, reminding me of 2008,” he added. “Bitcoin is a threat asset, and when worry strikes, threat property are the primary to go.”

Bearish Market Construction Signifies One other Leg Down for WIF

From a technical standpoint, the $WIF/$USDT every day chart displays a bearish construction with extra room to fall. After rallying to almost $1.50 in Might, the value has since retraced to round $0.86.

The correction seems to be unfolding in a traditional A-B-C sample, with the value now heading from level (B) towards a possible low at level (C). Assist between $0.65 and $0.70, proven by earlier breakout ranges, may present a short lived ground.

Except $WIF sees a powerful reversal with rising quantity and reclaims the $1.00 mark, the outlook stays bearish. Ought to the wave construction play out, $WIF may revisit the $0.60–$0.65 vary within the close to time period.

The publish $WIF Crashes Beneath $1: Is This the Starting of a Full Memecoin Meltdown? appeared first on Cryptonews.