Key Takeaways
If the memecoin holds the $0.000088-level, it could soar by 30% and potentially hit $0.0001158. Especially on the back of $250k in outflows from exchanges, plus significant long-position bets – All hinting at strong accumulation and bullish sentiments.
Thanks to a 30% upside on the charts, Floki Inu (FLOKI) ended its prolonged bearish trend and transitioned into a bullish one. This, after it broke out of a descending channel pattern.
Given the prevailing market sentiment, the memecoin has been garnering massive attention from crypto enthusiasts. In fact, several bold predictions have surfaced on X (formerly Twitter) lately too.
On the back of FLOKI’s impressive price performance, one crypto expert claimed that the memecoin successfully confirmed the breakout and retest of a descending broadening wedge pattern.
Additionally, the analyst noted that this successful breakout and retest could lead to a solid upside rally from its press time level.
Price, trading volume, and more…
At the time of writing, FLOKI was trading near $0.00009085, having recorded an uptick of over 7.50% in just 24 hours. During the same period, investor and trader participation skyrocketed, leading to a 101% hike in trading volume.
Such a notable increase in both price and volume hinted at strong upside momentum. However, these findings could also imply that the memecoin’s gains might be sustainable.
Technical analysis and key levels
According to AMBCrypto’s analysis, FLOKI appeared to be bullish and may be poised for a massive rally on the charts.
In fact, on the daily charts, the memecoin broke out of a descending channel pattern and a key horizontal level at $0.000088. At the time of writing, this had opened the door to significant upside momentum.
Source: Trading View
Based on the crypto’s latest price action and historical patterns, if the memecoin holds the key support level of $0.000088, there is a strong possibility that the asset could soar by 30%. In fact, it may also hit the $0.0001158-level in the near future.
During this rally, FLOKI may face a hurdle near the $0.00009810-level due to the presence of the 200-day Exponential Moving Average (EMA). If FLOKI breaches this EMA, it can not only clear its path for further upside momentum, but also signal a confirmed uptrend.
Do on-chain metrics support a bullish scenario?
Given the prevailing market sentiment, investors and traders have shown strong interest on the bullish side. This was evidenced by the findings of on-chain analytics tool Coinglass.
Data from spot inflow/outflow revealed that exchanges have seen outflows of $250k worth of FLOKI in the last 48 hours. Such significant volumes are often a sign of potential accumulation. This could lead to a hike in buying pressure and further upside on the charts.
Source: Coinglass
On the other hand, traders have been strongly betting on the bullish side too. In fact, at press time, traders seemed to be over-leveraged at $0.0000847 on the lower side (where the majority of bets were recorded) and $0.0000953 on the upper side, where trader interest appeared to be relatively lower.
At these levels, traders built $834.72k worth of long positions and $198.14k worth of short positions.
Source: Coinglass
When combining these metrics with technical analysis, it would seem that the bulls have been confidently backing some upside. Especially since they believe the memecoin could rally in the coming days.
