FLOKI, the popular memecoin, is facing a potential 40% drawdown, with its price already shedding 20.9% since its recent high of $0.0000949 on April 30. At press time, the asset appeared poised to test a bullish breaker block as a support zone, positioned approximately 7% below its current market value. This comes amid a broader downturn in the memecoin sector, which has collectively lost $5 billion in market capitalization over the past ten days.
FLOKI Holders Eye Bullish Support Zone Despite Market Sell-Off
The memecoin market’s decline is not unique to FLOKI, with daily trading volumes falling over 20% across the sector. Despite the bearish sentiment, on-chain metrics suggest that long-term FLOKI holders are maintaining their positions. Notably, the mean coin age (180 days) has been on a steady uptrend throughout 2025, indicating that HODLers are holding firm despite the price volatility. This bullish indicator could serve as a beacon of hope for investors looking to add to their positions during the current drawdown.
Fibonacci Retracement Levels Signal Caution for FLOKI Investors
On the technical front, FLOKI’s price action has been stuck in a lengthy consolidation phase since March. The asset challenged its early March resistance but failed to break above the 78.6% Fibonacci retracement level, calculated from its February-March rally. The rejection at this level, coupled with the broader market sell-off, could spell trouble for investors.
After a meteoric 1,163% rally last year, FLOKI has now retraced nearly 80% of those gains, raising concerns about further downside risks. As Bitcoin continues to trade above $100k, the memecoin sector appears to be bearing the brunt of profit-taking and waning investor interest.
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.
Also Read: Floki Inu [FLOKI] Jumps 20%: Analysts Predict Further Bullish Rally
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