- Bonk has surged by 8.03% over the past 24 hours.
- However, a decline in its social dominance signaled a potential pump until FOMO returns.
As a seasoned analyst with over a decade of experience in the cryptocurrency market, I have witnessed countless surges and dips, pumps and dumps. The recent performance of Bonk [BONK] has caught my attention, and after careful analysis, I am inclined to believe that this memecoin is poised for more gains.
Following an extended upward momentum, the price of Bonk (BONK) peaked at $0.000059, but then saw a steep drop, reaching a minimum of $0.00003837.
Since that time, the memecoin has seen a continuous upward trend for four days in a row, hinting at a possible breakout. At present, Bonk is being traded at $0.00004648, marking an 8.03% rise on daily price charts.
Over the same period, the memecoin’s trading volume increased by 109.84% to a record $1.01 billion.
Despite the price pump, Bonk remains approximately 20.79% below its ATH recorded 18 days ago.
After recent increases, analysts are debating about the future direction of this meme-currency. However, a Santiment analyst foresees further growth due to fear of missing out (FOMO).
Market sentiment
According to Santiment’s analysis, it’s anticipated that Bonk will see further increases due to reduced public interest.
Based on their perspective, the value of the memecoin is expected to keep rising due to a surge in fear-of-missing-out (FOMO). Consequently, as the public becomes increasingly greedy, large investors cash out, leading to a quick price drop afterward.
According to Santiment’s data, the proportion of social dominance has decreased from 1.53% to 0.27%. Typically, the market tends to behave in a way that contradicts the general public’s predictions.
Thus, when investors pay less attention, prices pump and the reverse is true.
What BONK’s charts say
Based on the analysis by AMBCrypto, there was a significant rise in the value of Bonk, driven by heightened demand from buyers.
Initially, it’s clear that there’s a surge in interest and buying activity for Bonk. This is indicated by a bullish pattern on its Relative Strength Index (RSI), specifically a crossover that occurred within the last 24 hours. This crossover suggests that buyers are currently in control.
The strength of the upward momentum was further evidenced by a sustained rise in the Relative Vigor Index (RVGI). When this rises, it shows that the current trend is strengthening and could continue.
Furthermore, it appears that the Bonk’s Long/Short Ratio indicates a predominance of long positions in the market. In simpler terms, this suggests that many investors are optimistic about the memecoin’s future value increase, as they are primarily taking long positions, which is a bet on the coin’s price going up.
As more investors opt for long investments, the Open Interest has significantly increased by 8.36%, reaching a total of around $27 million. This suggests an influx of new market entrants who are planning on investing, expecting the prices to rise.
Read Bonk’s [BONK] Price Prediction 2024–2025
To put it simply, there’s a surge in demand for Bonk as active investors are choosing to hold long positions, indicating increased interest in purchasing the stock.
Based on the current circumstances, if the trend continues, I anticipate Bonk could return to the $0.000050 mark. A potential breakout might even push it up to $0.000054. However, in case of a market correction, Bonk might dip down to approximately $0.00004211.
Read More
- GBP EUR PREDICTION
- SEI PREDICTION. SEI cryptocurrency
- HBAR PREDICTION. HBAR cryptocurrency
- TRB PREDICTION. TRB cryptocurrency
- CNY RUB PREDICTION
- POL PREDICTION. POL cryptocurrency
- INJ PREDICTION. INJ cryptocurrency
- RLC PREDICTION. RLC cryptocurrency
- CTXC PREDICTION. CTXC cryptocurrency
- HOOK PREDICTION. HOOK cryptocurrency
2024-12-08 23:03