The cryptocurrency Bonk [BONK] has found solid support at the $0.000025 threshold after a significant price drop exceeding 60% in recent weeks. Although the sentiment shift is still pending confirmation, there are indications of a potential turnaround for this meme coin.
One of the drivers that might sway the sentiment around BONK is the increasing interest and trust from traders and investors, as highlighted by the analytics company CoinGlass.
Analysis of spot inflows and outflows signals a substantial outflow of $4.5 million in BONK over the past three days on exchanges. This notable outflow, amidst current market conditions, hints at a possible accumulation phase that could trigger buying activity and push the prices higher.
Aside from the outflows from long-term holders, short-term traders are favoring long positions, as per CoinGlass’s on-chain data. Presently, the Long/Short Ratio for BONK stands at 1.07, displaying a robust bullish sentiment among traders. Moreover, data reveals that 52.98% of top traders are in long positions, while 47.02% are in short positions.
Combining these on-chain metrics, it appears that the bulls are regaining control, fostering an upward momentum in the meme coin’s value.
Increased Trader Interest and Investor Confidence
Moreover, another factor that might sway BONK’s sentiment is the increasing enthusiasm and assurance from traders and investors, as per findings from the on-chain analytics company CoinGlass.
Information on inflows and outflows in the market shows a noticeable outflow of $4.5 million in BONK over the past three days.
Given the substantial outflow in the current market climate, it indicates potential accumulation, leading to buying pressure and an upward movement.
Aside from long-term holders’ outflows, intraday traders are leaning towards long positions, as per CoinGlass’s on-chain statistics.
Currently, the Long/Short Ratio for BONK sits at 1.07, pointing towards a strong bullish sentiment among traders. These figures also show that 52.98% of top traders have long positions, while 47.02% hold short positions.
A combination of these on-chain metrics signals a resurgence of bullish behavior, supporting the meme coin in resuming its upward trajectory.
Technical Analysis and Key Levels for BONK
According to technical analysis by CryptoCrypto, BONK stands at a neutral position and is on the brink of either a significant rally or a decline in the upcoming period.
Price Forecast for BONK
Based on historical price trends, this price level is not new to BONK. The last time the meme coin reached this point, it witnessed a 35% upward surge, a move that experts and analysts expect to see repeated.
If BONK manages to hold above the $0.000025 level, there is a high likelihood of a 30% surge, propelling the price towards the $0.000035 mark. Conversely, failing to maintain this level and closing below $0.000025 in a daily candle could lead to a drop close to $0.000016.
Currently, the memecoin is trading around $0.000027, experiencing a modest 1.10% upward momentum. However, during the same period, its trading volume has decreased by 40%, indicating reduced interest from traders and investors amid the ongoing market rebound.