BONK, the popular Solana-based meme coin, is showing strong signs of a potential rally in the near future. As of January 7, 2024, BONK has been outperforming major meme coins such as Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE). With a price gain of over 5% in the past 24 hours, BONK is currently trading near $0.000035, attracting significant interest from traders and investors.
Technical analysis of BONK’s price action reveals that the coin has broken out from a prolonged trendline and is now consolidating within a tight range between $0.0000334 and $0.0000368. The daily chart suggests that this breakout follows a long consolidation phase, with the price retesting the breakout level for potential future gains.
According to expert predictions, if BONK manages to break out of its current consolidation and close a daily candle above $0.000037, it could potentially soar by 45% and reach the $0.0000545 level in the coming days.
On-chain metrics further support the bullish outlook for BONK. Long-term holders have been accumulating the token consistently, with data from Coinglass indicating a significant outflow of $10.5 million worth of BONK from exchanges during the consolidation phase. This outflow suggests a favorable buying opportunity and increases the likelihood of a price rally.
In addition to long-term holders, traders have also shown increased interest in BONK, with open interest (OI) surging by 30.5% in the past 24 hours. This rise in OI indicates that traders have been adding to their open positions, further supporting the positive sentiment surrounding the meme coin.
Overall, with its strong price performance, technical breakout, and bullish on-chain metrics, BONK appears to be in a prime position for a significant rally in the near future. Investors and traders are closely monitoring the coin’s movement, anticipating further gains as it continues to outshine its competitors in the meme coin space.