FLOKI’s price profits from Coinbase hype, but here’s why all’s not done just yet

FLOKI has entered the Coinbase roadmap, becoming the third memecoin to do so in the last three days
However, despite the initial momentum, a parabolic run still remains elusive

As a seasoned analyst with over two decades of market observation under my belt, I find myself intrigued by the recent development surrounding FLOKI. The coin’s entry into the Coinbase roadmap is indeed a significant milestone, especially considering it’s the third memecoin to do so in three days. However, while the initial momentum is undeniable, a parabolic run remains elusive.

Just listed on Coinbase, Floki [FLOKI] has drawn significant interest from investors. Remarkably, this listing coincides with the market’s rebound, potentially setting up FLOKI for an impressive surge in value, possibly leading to a parabolic rise.

Although the 70% weekly increase in the altcoin might suggest it has momentum, others might argue that the market is becoming too heated. Yet, this particular bull run seems distinct, particularly since Bitcoin is now moving into a high-risk territory.

Usually, at this point, investors tend to look for low-risk, high-return assets to reinvest their profits from the post-election bull market. Given that Bitcoin has reached a new all-time high of $93k, it might still be premature to predict if FLOKI will experience a correction. On the contrary, with its listing on Coinbase and investors preferring safer investments, FLOKI could potentially make a significant leap forward.

Whales accumulate FLOKI, but there’s a catch

Over the last couple of market phases, there’s been a substantial change in direction, causing memecoins to become less vulnerable to abrupt fluctuations. This is because an increasing number of investors are viewing them as a maturing investment category with genuine practical applications.

Throughout the previous research phase, DOGE yielded the highest returns. However, the current phase has seen a significant change, even within the memecoin community. Over the past three days, I’ve noticed that Coinbase has included PEPE, WIF, and FLOKI – three top memecoins – in their upcoming listings, as indicated by their roadmap.

The significant upswing that ensued, as every cryptocurrency recorded a daily increase exceeding 20%, clearly demonstrated their dominant position within the market, even causing leading alternative coins to trail behind.

Looking ahead, it’s expected that this change could significantly direct significant investment towards popular meme coins such as FLOKI, diverting funds away from Bitcoin during times when its value is highly volatile.

Consequently, those with 1 billion FLOKI tokens have shown enthusiasm towards the listing, currently accumulating a massive 55 billion tokens. This represents a significant surge from the previous 52 billion within slightly more than a day.

Source : Santiment

As a crypto investor, I’ve noticed that while things appear bullish on the surface, there seems to be another factor at play. Upon examining the chart, the irregularities in whale accumulation patterns can’t help but catch my eye. This inconsistency underscores the significant volatility characteristic of memecoins, a trait that I always keep an eye on.

In other words, if Bitcoin doesn’t surpass a significant threshold, it will be hard to determine if FLOKI can keep moving upwards consistently.

The logic behind this is straightforward – since Bitcoin currently stands at $91k, it has encountered considerable resistance near the $90k level. Interestingly, in the past, such resistance has often led to substantial surges in the value of memecoins.

With the excitement surrounding the Coinbase listing subsiding, there’s a possibility that FLOKI’s price could decrease due to its RSI being in an overbought state. Some investors might choose to exit their positions after cashing out their profits, and there hasn’t been consistent accumulation by the big players either.

As a crypto investor, I firmly believe that for FLOKI to potentially surge towards 0.00030, we first need Bitcoin to shatter its current resistance at $93k. This significant breakthrough could bolster investor confidence in FLOKI’s long-term potential.

Odds of Bitcoin breaking key psychological level

Over the course of just 10 trading days, the Bitcoin market experienced a record surge, which could be attributed to a significant influx of trades triggered by the recent election outcomes.

On the other hand, the advancement has slowed lately, as Bitcoin has been fluctuating between approximately $90,000 and $91,000 for the past three days. This swift increase over a brief span makes this cycle unique compared to previous ones.

Realistic or not, here’s FLOKI’s market cap in BTC’s terms

Contrary to past elections, where Bitcoin didn’t dip below its closing price on the day of the election, this time around, its value has experienced a drop.

Although the new president, Trump, frequently expresses support for certain actions, the essential principle of ‘exercising caution’ remains constant. As a result, this economic cycle appears to be more unpredictable compared to its predecessors.

To put it simply, if Bitcoin doesn’t reach a price point considered an attractive ‘drop’ for new investors, it could be challenging for bulls to surpass the $93k resistance. Until this issue is resolved, meme coins like FLOKI may continue to stabilize or even face a possible downturn.

2024-11-17 07:04

Whales accumulate FLOKI, but there’s a catch

Odds of Bitcoin breaking key psychological level

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