BONK, the memecoin built on the Solana blockchain, is showing signs of a significant upward rally, thanks to a positive price pattern on its daily chart.
The cryptocurrency market, as a whole, seems to be rebounding post a decline on the 10th of December, which is possibly sparking fresh interest in BONK.
Increased Interest from Whales in BONK
It seems that large holders and long-term investors are showing greater interest and confidence in BONK, leading to a substantial movement of the token away from exchanges, according to data from Coinglass.
Reports from BONK’s Spot Inflow/Outflow data suggest that exchanges have witnessed a significant $45.73 million outflow despite the recent drop in prices on the 10th of December.
This notable outflow trend has been consistent since the start of December 2024.
In the crypto market, outflow refers to the movement of assets from exchanges to personal wallets, hinting at a potential upward trend and indicating favorable times to buy.
Analysis of Technical Indicators and Important Levels
According to analyses from CryptoCrypto, BONK has successfully retested its breakout level from a weekly ascending triangle pattern.
After a sharp decline, BONK managed to find support and even formed a bullish engulfing candle pattern.
Based on recent developments, there’s a likelihood that BONK could surge by 40% to hit the $0.0000545 mark in the short term.
If the current positive momentum and market sentiment continue, the meme token could potentially skyrocket by 250% to hit the $0.000137 level in the future, seen as a long-term target.
Moreover, BONK’s Relative Strength Index (RSI) stood at 46, indicating proximity to oversold conditions.
When an asset’s RSI nears the oversold territory, there’s a strong chance of a price reversal, possibly in the upcoming days.
At the moment, BONK is trading close to $0.000395, following a price surge of more than 5.65% over the past 24 hours.