The price of Bonk has dropped by 10% in the past 24 hours, now trading at $0.00001239 as of 12:40. During this time, trading volume has also fallen sharply by 45%.
Looking at the daily chart, the price of BONK is currently facing the 50-day Simple Moving Average (SMA) as it attempts to rise back above the ascending trendline.
BONK Price Analysis: Traders Eyeing Short Opportunities
The recent slump in BONK’s price has provided perpetual traders with ample opportunities for shorting. Analysts like @Shubidubby on X have labeled BONK as “a nice short,” cautioning investors not to exceed 5x leverage to manage risks effectively.
#BONK $Bonk #Solana @bonk_inu @superbowl
UPDATE!https://t.co/MZl8hil74h
1. Another one for me! Come on guys, I take time to make these nice and wonderful predictions ahead. If you had just paid attention, then you could have been in a nice short!
2. We are coming into the… https://t.co/Kp7y5nbbcb pic.twitter.com/aHB3s2rQ41
— CRYPTO NABI (@Shubidubby) February 11, 2024
Technical Indicators and Potential Upside
Currently, BONK is challenging the 50-day Simple Moving Average (SMA) at $0.00001251, with indicators suggesting prospects for further gains. The Relative Strength Index (RSI) is above 50, indicating potential bullish momentum, while the Moving Average Convergence Divergence (MACD) is in positive territory, bolstering the bullish outlook.
If buying pressure intensifies, BONK could surpass the 50-day SMA, aiming for $0.00002166 or even retesting the $0.00003500 range high. Such a move would signify a substantial 185% increase from current levels.
TradingView: BONK/USDT 1-day chart
On the downside, profit-taking by traders could lead to a drop in BONK’s price, potentially breaching the support provided by the 100-day SMA at $0.00001251. This level coincides with the descending trendline and serves as a critical support. Failure to hold here could trigger a further decline to the 200-day SMA at $0.00000540, representing a 55% decrease from current levels.
In an extreme scenario, if the downward momentum persists, BONK’s price could plummet to the range low at $0.00000017, levels not seen since the bullish market turnaround in mid-October.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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