Bonk Price Prediction: BONK’s 12% Drop Does Not Tell the Full Story, as Technicals Flag Bullish

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The Bonk price plummeted 12% over the past 24 hours to trade at $0.00001356 at press time as the entire market got hit with a wave of sell volume.

The Bonk Price Escapes a Bearish Chart Pattern

Daily chart for BONK/USDT (Source: TradingView)

The Bonk price was able to escape the medium-term negative trend that it was trapped in over the past few weeks. Following its break out of a descending triangle pattern, BONK attempted to challenge the strong resistance level at $0.0000192765. However, sellers were quick to exert sell pressure on the meme coin, which caused it to pull back slightly in the past three days.

As a result, the Bonk price has entered into a consolidation phase between $0.0000088550 and $0.0000192765. If the crypto remains in this channel for the next 48 hours, then this period could be seen as an accumulation and liquidity building phase before a strong move to the upside if buyers decide to buy into BONK again. This potential bullish surge could see the BONK price flip the resistance level at $0.0000192765 into support.

Thereafter, continued buy support could elevate the meme coin’s value to as high as $0.0000290295. Risk-averse traders may want to wait for the Bonk price to close a daily candle above $0.0000192765 before entering into a long position.

This bullish thesis could be invalidated if the BONK price drops below the $0.0000088550 support in the upcoming days. In this alternative scenario, the crypto may fall to as low as $0.0000032570 within the following fortnight.

Bonk Enters a Bullish Cycle

Technicals suggested that BONK has entered into a bullish trend. Both the Moving Average Convergence Divergence (MACD) and the Relative Strength Index (RSI) were flagging bullish. The gradient of the MACD Histogram was positive, while the MACD line was positioned above the MACD Signal line. This suggested that BONK’s positive trend may carry on for the next couple of days.

In addition to this, the RSI was positioned above its Simple Moving Average (SMA). This is indicative of bulls having more strength than bears. As a result, it will be easier for buyers to boost the Bonk price in the next few days than it will be for sellers to drag it down.

The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Ecoinimist is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.

Author

Steven Walgenbach

Steven's passion for cryptocurrency and blockchain technology began in 2014, inspiring him to immerse himself in the field. He notably secured a top 5 world ranking in robotics. While he initially pursued a computer science degree at the University of Texas at Arlington, he chose to pause his studies after two semesters to take a more hands-on approach in advancing cryptocurrency technology. During this period, he actively worked on multiple patents related to cryptocurrency and blockchain. Additionally, Steven has explored various areas of the financial sector, including banking and financial markets, developing prototypes such as fully autonomous trading bots and intuitive interfaces that streamline blockchain integration, among other innovations.

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