- Floki Inu has experienced a surge of 4.66% following a period of decline.
- Crucial on-chain data and technical indicators are suggesting a potential reversal of the bearish trend.
- Notably, the market capitalization of Floki Inu has increased by 4.57% to $1.69 billion as reported by CoinMarketCap.
Discover how Floki Inu is bouncing back after weeks of decline with crucial market data indicating potential bullish trends.
Recent Surge in Floki Inu Amid Market Decline
Popular memecoin Floki Inu (FLOKI) has seen a 4.66% increase in the last 24 hours, suggesting a potential recovery period. Despite its recent uptrend, the coin has experienced a significant drop of 25.92% over the past seven days. CoinMarketCap reports that FLOKI’s market capitalization has grown by 4.57%, reaching $1.69 billion, even as the cryptocurrency faced a 10.03% decline in trading volume to $288.44 million.
Potential Indicators for a Market Reversal
According to an analysis by COINOTAG, hitting the lower boundary of a rising trend line could signify that FLOKI is preparing for a substantial upward movement. After reaching a low of $0.000160, support levels are emerging around $0.000221 and $0.000231, with $0.00234 acting as a critical support zone. If FLOKI maintains its current bounce back, the memecoin might hit its previous resistance level of $0.000268, representing a potential 48.9% surge. In an optimistic scenario, FLOKI could revisit its prior high of $0.000348.
Moreover, the Relative Strength Index (RSI) standing at 36 indicates a diminishing bearish trend. The RSI has increased from 33 over the past 24 hours, edging closer to its RSI-based moving average (MA) of 46, which suggests a potential trend reversal. As the RSI approaches oversold territory, currently at 36, it opens up favorable buying opportunities, thereby increasing network activity.
Market Sentiment and Network Activity
Data from Santiment reveals a rising trend in active addresses for FLOKI over the past week, escalating from 4.997 million to an impressive 19.989 million—an increase of 300%. This surge in network activity is a promising indicator, reflecting heightened interest and adoption. Higher network activity could be a precursor to increased prices.
Conversely, on the social front, FLOKI has witnessed a significant drop in social volume, falling from 14.017 to 0.945 over the last seven days. Generally, reduced social volume might be a positive signal, pointing towards market stability and lesser public distraction, setting the stage for a potential pattern change.
Sustainability of Floki Inu’s Surge
Key metrics and technical indicators suggest that FLOKI is well-positioned to form a new support level and possibly challenge higher resistance levels. Over the past week, despite a 50% decline, recent trading patterns indicate potential bullish behavior. If the daily candlestick closes above $0.000180, a bullish trend is anticipated. However, closing below $0.00159 could mean the bearish trend persists.
Conclusion
In conclusion, Floki Inu shows signs of a potential reversal after a period of decline. With increasing network activity and favorable technical indicators, the memecoin might experience a significant surge if the current positive momentum continues. Investors should keep an eye on critical support and resistance levels to gauge the trajectory of FLOKI’s price movement.
