- WIF increased by 12% in the following days after the Fed decision.
- The memecoin’s recovery could be extended to $2, or it may slip back below $1 depending on the inflation rate in the United States.
Fed Rate Decision Fuels dogwifhat [WIF[ ] Resurgence, with 16% more pump.
Jerome Powell, Fed chairman, reiterated the agency’s willingness to cut interest rates if the inflation rate did not fall to the target of 2%.
WIF was boosted by the Bitcoin update to $105,000, which also lifted several other altcoins. Is it enough for WIF to reach $2?
WIF can it top $2 once again?
TradingView: Source for WIF/USDT
The OBV spiked on the daily chart of prices, which indicates a substantial amount of trading. WIF’s daily trading volume was $326M on February 29th, which is much higher than March 2024.
As of the time this article was written, unfortunately, OBV had not yet reached a new high that would indicate further momentum. RSI also recovered partially from oversold territory, but was still under neutral for a sustained buying pressure.
This bearish chart could be changed after U.S. Inflation data are released, but the current reading does not paint a WIF surge to $2 (overhead support zone in red).
WIF may be able to reach $2 or more if U.S. inflation (PCE Index) is low.
Increased demand for spots
Coinalyze
Coinalyze data indicates that the Spot and Futures Markets were very active during this rally. Open Interest Rates and Cumulative Volume Delta were both on the rise.
OI for instance, rose over 40% during this rally. Leveraged trading was a major factor in the rise. OI fell later, while CVD spot rose.
You can read more about it here dogwifhat’s [WIF] Price Prediction 2025–2026
It was evident that the demand on the Spot Market remained stable despite declining Futures Interest. If this trend continues, it could be good for WIF.
WIF could potentially reach $2 in the future if U.S. inflation numbers favor risky assets. A bearish mood could bring the memecoin back below $1.
Disclaimer: This information is not intended to be a financial, trading or investment advice. It represents the sole opinion of the author.
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Source: ambcrypto.com
