Markets
Will Solana Meme Coin Sustain 4% Surge in Bloody Cryptocurrency Market
Bonk Price Prediction: The cryptocurrency market is in the red, which could cause concern and fear among investors. As discussed in the Bitcoin Price Forecast, declines could extend to $66,000 and $64,000, confirming a deep downtrend this week. If this bearish scenario takes root, it would be difficult for altcoins to establish a recovery framework that portends more losses in June.
However, the bearish outlook has not affected all cryptocurrencies. According to CoinGecko data, Bonk, a well-known coin in the Solana ecosystem, is in the green after maintaining an increase of 4% in 24 hours to oscillate at $0.00002785.
With a 35% increase in trading volume to $331 million, Bonk appears to be the traders’ favorite on Tuesday. Unlike other altcoins to buy this week, BONK maintains a 1.18% rise in market cap at $1.89 billion, further highlighting the bullish grip.
Bonk Price Prediction: Close to Validating a Bigger Breakout
After climbing to $0.0000444 on May 28, Bonk began to struggle under the influence of investor profits. This slowdown coincided with a general downward trend in the market.
Bond prices declined within two right-sloping trendlines, forming a nearly mature falling wedge pattern. The upper trend line signified intensifying resistance while the lower trend line ensured that the piece of money did not enter into a sudden fall.
Several tentative support areas failed to absorb the selling pressure, including areas marked by exponential moving averages (EMAs), such as the 20-day EMA in blue, the 50-day EMA in red, and the 200-day EMA in purple.
Bonk Price Prediction Chart | Commercial view
The downtrend continued until BONK reached $0.000026. Due to heavy buyer congestion in this area, a rally began, ignoring the massive sell-off in the market before the CPI data was released on June 12.
Bulls appear to be regaining strength, as observed with Relative Strength
(RSI) as it bounces into the neutral zone above 30. If the RSI uptrend continues towards overbought, the path of least resistance will reverse upwards.
Bonk is also bound to reclaim his position above the 20-day EMA currently at $0.000028 and push for a daily close. Such a development will help solidify the bullish return and validate the weekend’s uptrend.
The presence of a falling wedge pattern is another bullish signal that cannot be ignored by traders. A break above the upper trendline will validate the pattern’s impact on price.
Traders can enter more buy orders slightly above the trendline, anticipating a larger breakout targeting $0.00004. A spike in volume should accompany the breakout.
The RSI must also cross the descending trendline to break the bearish divergence formed with the price. Such a decision would go a long way to validating the trend reversal.
Further losses below the wedge pattern cannot be ruled out. However, if this happens, traders can DCA, thereby reducing the average entry position and maximizing profits when the Bonk price exceeds $0.00004.
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