Dogwifhat Tops PEPE Becoming Third-Largest Memecoin – Can WIF Overtake SHIB?
The prices of Bonk, DogWifHat and other Solana meme coins have collapsed since March. Credit: Hameem Sarwar
Key Takeaways
- Dogwifhat reached a new all-time high price of $4.03 on March 29.
- It overtook PEPE as the third largest memecoin based on its market capitalization.
- At what price will WIF overtake SHIB to become the second largest memecoin?
WIF has been one of the leaders of this cycle’s memecoin rally, spearheading the Solana memecoin ecosystem resurgence. Its increase led to a new all-time high price today, causing it to become the third largest memecoin based on its market capitalization.
The next memecoin in line is SHIB. WIF needs to begin an extraordinary rally to overtake its market capitalization and become the second largest memecoin.
How Can WIF Overtake SHIB?
The WIF price increase led to a market capitalization of $3.59 billion, overtaking PEPE’s at $3.25 billion. WIF is now the third largest memecoin based on its market capitalization. Next in line is SHIB, with a market capitalization of $18.2 billion.
SHIB has a circulating supply of 589 trillion. The supply has been relatively constant since July 2022 even though there have been numerous token burns. The burn mechanism was implemented after the release of Shibarium, Shiba Inu’s Layer-2 blockchain.
Attention #SHIBARMY 🚨
We’re thrilled to announce that #SHIBARIUM Public Beta will be launching THIS WEEK! 🎉
Make sure you’re following our official socials over the next few days as we reveal all the details on how to access the beta website. Hail Shib! #ShibariumBeta 🦴 pic.twitter.com/ZsgEm3AjPH
— Shibarium Network (@ShibariumNet) March 7, 2023
Besides automatic burns, which occur with every transaction, manual burns are initiated by the community, which have varied between 10 and 50 million tokens per day.
The Shiba Inu community implement burns to reward loyal holders by increasing the scarcity of the remaining tokens. This started after the team sent 50% of the total supply to Ethereum’s co-founder Vitalik Buterin and he burned 90% of it .
However, even though there are manual and automatic burns, the total circulating supply of SHIB has stood relatively constant. This is due to the fact that the decrease from the burns is almost inconsequential to the total supply.
Unlike SHIB, the WIF memecoin has a fixed supply of 998 billion tokens. So, when calculating the market capitalizations of both memecoins this year, it is safe to assume that the supply will remain constant for both.
Given their market capitalization of $18.2 billion and $3.59 billion, WIF needs to increase fivefold to overtake SHIB in market capitalization, given the price of the latter remains constant.
WIF Price Prediction: What’s Next After All-Time High?
The WIF price has increased by 2,000% since starting its rally on February 7. The upward movement led to a new all-time high of $4.03 today. The most likely wave count suggests that WIF is in the fifth and final wave of its upward movement (white).
While the WIF price can increase to $4.54 and possibly $6.15, it seems that the current upward movement is nearing its end. Neither target will cause WIF to overtake SHIB as the third largest memecoin.
The possibility of a top is supported by both the RSI and MACD. Both indicators have generated a bearish divergence, something often occurring near cycle tops. If the count is correct, the WIF price will soon being a correction toward the closest support at $2.
The WIF in 2024 has been remarkable, pacing the memecoin ecosystem. While it is possible that WIF will overtake SHIB later in the market cycle, there is too much ground to make up in the short-term, making it unlikely it will do so next month.
