Will Bonk Price Breakout or Drop Further After 9% Loss? Key Levels to Watch

Table of Contents

In the latest 4-hour analysis of the Bonk price, a downward trend is observed, with closing prices gradually decreasing from $0.00002639 to $0.00002384. The 9 Exponential Moving Average (EMA) continues to decline, now around $0.00002525, while the 20 EMA follows a similar trajectory at $0.00002622. This alignment of EMAs below the current price indicates a bearish sentiment in the short term, signaling potential selling pressure.

Bonk Price Technical Overview

Meanwhile, the Moving Average Convergence Divergence (MACD) histogram shows a widening gap, with the MACD line deepening further below the signal line. This divergence suggests increasing bearish momentum. The MACD values have progressively decreased, emphasizing a continued bearish trend and potential for further price declines. Traders should consider this as a warning for potential downward price movements.

Also read: Worldcoin Price Falls 2% Amid New World ID Orb Verifications in Austria

Relative Strength Index (RSI) values have dropped significantly, indicating oversold conditions. The RSI currently stands at 24.63, suggesting that the asset is heavily oversold and may be due for a short-term rebound. However, caution is advised as oversold conditions can persist in a strong downtrend.

Given the current market conditions, potential movements can be anticipated. If the Bonk price breaks above the immediate resistance at $0.00002413, it may target the next resistance level at $0.00002465. A further breakout could lead to $0.00002514. Conversely, if the price fails to hold above $0.00002351, it could test the support at $0.00002292, with a further decline to $0.00002267 if bearish pressure persists.

Potential Trade Approaches

For long trades, traders might want to consider entering near the support levels of $0.00002351 or $0.00002292, with potential exits at the resistance levels of $0.00002465 or $0.00002514. This strategy capitalizes on potential short-term rebounds by the Bonk price from oversold conditions.

Also read: Magnificent Seven Shed $2.6 Trillion Ahead of High-Profile Earnings Week

For short trades, traders can consider entries at the resistance levels, particularly around $0.00002465 or $0.00002514, with exits near the support levels of $0.00002351 or $0.00002292. This approach leverages the prevailing bearish momentum and aims to profit from further declines.

The technical indicators for BONK on the 4-hour chart suggest a bearish trend with potential for short-term rebounds from oversold conditions. Traders should closely monitor the key support and resistance levels to identify potential entry and exit points for both long and short positions.

Disclaimer: 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.

View all posts