Floki (FLOKI), the meme coin inspired by Elon Musk’s Shiba Inu, has experienced a rollercoaster ride in recent days. After a significant surge, the token has pulled back slightly, but underlying bullish indicators suggest further upside potential.
Recent Price Action And Market Sentiment
At press time, FLOKI was trading at $0.000194, down 6.01% over the past 24 hours. However, the token has seen a remarkable 40.72% increase over the past week. This recent dip could be a healthy correction after the rapid ascent, allowing the asset to consolidate gains before potentially resuming its upward trajectory.
Technical Analysis – A Bullish Outlook
A closer look at technical indicators reveals a bullish outlook for FLOKI:
- Bollinger Bands: The upper band at $0.00021499 acts as a significant resistance level, while the lower band at $0.00009907 provides strong support. The midline, near $0.00014949, serves as a potential pivot point.
- Relative Strength Index (RSI): The RSI reading of 64 suggests that the asset is in overbought territory, indicating potential for a short-term pullback. However, the overall trend remains bullish.
- Moving Average Convergence Divergence (MACD): The MACD line is above the signal line, indicating positive momentum.
- Chaikin Money Flow (CMF): A CMF reading of 0.18 suggests steady buying pressure, further supporting the bullish trend.
The futures market for FLOKI has shown mixed signals. Open Interest has decreased by 10.05%, indicating a reduction in leveraged positions. However, trading volume has increased by 5.10%, suggesting continued interest from traders.
Also Read: Floki Inu Price Surges 23% After Trump’s Election Win – Is A 200% Rally Imminent For This Meme Coin?
On-Chain Activity – A Sign of Growing Adoption
FLOKI’s on-chain metrics have surged recently, with a significant increase in new and active addresses. This indicates growing user adoption and interest in the token. The rise in zero-balance addresses could be attributed to speculative activity or consolidation of funds.
While FLOKI has experienced a short-term pullback, the underlying bullish indicators suggest that the token could continue its upward trend. However, investors should exercise caution and monitor the market closely, as volatility remains high. As always, it’s crucial to conduct thorough research and consider consulting with a financial advisor before making any investment decisions. Sources and related content
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
About The Author
