FLOKI, the popular meme coin, continues to face strong selling pressure despite a modest uptick in price. Short-term holders (STHs) appear poised to capitalize on profits, threatening the asset’s ability to sustain upward momentum.
FLOKI Investors Remain Bearish
The Market Value to Realized Value (MVRV) Long/Short Difference for coin currently stands at -40%, signaling that short-term holders are in profit. Historically, this indicates a high probability of sell-offs, as STHs tend to liquidate positions at the first signs of gains. If these investors start selling, FLOKI could experience significant downward pressure, further weakening its price.
Additionally, the Relative Strength Index (RSI) for FLOKI remains below the neutral 50.0 mark, reinforcing the bearish sentiment. While the RSI has shown slight improvement after reaching oversold levels, it has yet to signal a strong bullish reversal. This suggests that FLOKI’s recovery remains uncertain, with further declines possible if market sentiment does not improve.
FLOKI Faces Key Resistance Levels
At the time of writing, coin is trading at $0.00007121, reflecting a 12% increase over the past 24 hours. The meme coin is attempting to turn the $0.00007132 resistance level into a support zone. However, breaking past this barrier has proven difficult, and without stronger bullish momentum, FLOKI may struggle to sustain its recent gains.
Market analysts predict that FLOKI will likely consolidate between $0.00007132 and $0.00005903. Even if the token successfully flips resistance into support, a sustained rally will require renewed investor confidence and broader market strength.
What’s Next for FLOKI?
For FLOKI to invalidate the bearish outlook, it must breach the $0.00009357 resistance level and push above $0.00011036. Such a move would indicate renewed investor confidence and the potential for an extended bullish trend. However, given current market conditions and the selling pressure from short-term holders, FLOKI’s near-term price action remains uncertain.
Also Read: Coinbase Halts Trading for FLOKI, TURBO, and GIGA in New York—Market Reacts
Investors should closely monitor technical indicators and market trends before making any trading decisions. A sustained shift in sentiment will be necessary for coin to break free from its current consolidation phase and establish a stronger bullish trajectory.
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.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
