Despite making huge profits, the biggest holder of Dogwifhat continues to buy, which signals a strong belief in the memecoin's future.
This means that WIF is waking up, and the whale may be on to something.
A break above $1.95 could be the signal for a new bullish trend and a price climb towards $5.
While all signals seem positive, it might be best to wait for confirmed breakouts from $1.95 to $2.4 before buying in.
DogWifHat is a lot less popular than it used to be at the start of the year.
However, things aren’t over for this Solana memecoin yet. In recent news, the largest holder of the memecoin has just done something interesting and has caused a buzz on Twitter.
Despite sitting on nearly $70 million in unrealised profits, whoever this whale is continues to buy more.
This shows a strong belief in the memecoin’s rallying potential, and the question now is:
Is this the time to buy some WIF?
Interestingly, a new Tron-based alternative to Pump.fun launched sometime this month, along with a new wave of memecoins that seem to be overshadowing Solana’s.
However, despite this, on-chain data from LookOnChain show that the top DogWifHat whale has made several massive transactions over the last week.
Some of the most notable of these is how they deposited around 21.9 million WIF tokens, valued at $35.48 million, into Kamino Finance.
Soon after this deposit, the whale then borrowed another fresh tranche of 3.24 million USDC using the WIF tokens they bought as collateral.
Eventually, 2.7 million USDC of this money was used to buy another additional 1.8 million WIF tokens, which shows a strong (almost obsessive) belief in the future of this memecoin.
LookOnChain notes that this whale’s WIF accumulation has been ongoing for a long time.
This whale has been buying since December 2023, during which time it spent $226,000 on 19.86 million WIF tokens at an average price of $0.0114 per coin.
The whale even went further to register the domain “binance-insider.sol” and then bought another massive 17.23 million WIF tokens in a single transaction (all worth 86,738 SOL or $8.92 million at the time).
As a result of these transactions, the whale now has around 27.2 million WIF tokens, currently valued at $44.36 million.
Despite these massive gains, the whale apparently remains bullish and expects the cryptocurrency to continue climbing.
As an answer to the "Is it time to buy" question, it might be helpful to look at available data.
WIF’s performance
According to data from CoinMarketCap, WIF is up by around 15% at the time of writing and by around 34% in the past week.
This shows beyond doubt that the memecoin is indeed waking up.
According to the charts, the cryptocurrency trades at around $1.87 at the time of writing and is trending within a descending wedge.
DogWifHat’s price action
As shown, the memecoin is strongly bullish. However, it still needs a bit more push to confirm bullish dominance.
To do this, we have to see a break above the $1.95 high from 8 August, for the cryptocurrency to form a new higher high and therefore signal to investors that it is safe to enter.
So far, the key resistance points include the $1.95 price level and $2.4 (which would serve as a full breakout from the wedge).
A break above $1.95 would be great, but a break above $2.4 would make WIF very poised to rally by nearly 100% to hit the $5 mark.
Is WIF safe to enter now? Not yet—wait for the trigger(s).
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.