Journalist
Posted:
- FLOKI’s price dropped by more than 25% in the last seven days.
- A bullish pattern appeared on the memecoin’s chart, hinting at a recovery.
Memecoins like FLOKI have had their fair share of short-term bull rallies this year. Though this seemed like an optimistic sign initially, a look at the broader picture revealed a few concerns.
Therefore, AMBCrypto planned to have a better understanding of FLOKI’s performance to find out the odds of the memecoin recovering from its past losses.
FLOKI’s dark year
Lookonchain recently posted a tweet revealing how top memecoins performed over the last year. The tweet mentioned that FLOKI’s price had dropped by more than 65%.
Not only FLOKI, but top memecoins like Dogecoin [DOGE] and Shiba Inu [SHIB] also had similar fates as their values plummet by 57% and 70%, respectively.
Over the past year, the top 10 meme coins have dropped an average of 63.73% from their peak.
CoinMarketCap’s data revealed that the bears continued to dominate the last week, as the memecoin’s value dipped by more than 25%. In the last 24 hours alone, the memecoins’ value declined by over 7%.
At the time of writing, FLOKI was trading at $0.0001157 with a market capitalization of over $1.11 billion.
The price decline also had a negative impact on its social metrics, as its Weighted Sentiment dropped. This meant that bearish sentiment around the meme coin was dominant.
Source: Santiment
Will FLOKI recover in 2024?
AMBCrypto then checked investor sentiment around FLOKI to understand whether there were any chances of a recovery in the coming weeks.
As per our analysis, selling pressure on the memecoin increased sharply. This was evident from the massive rise in its supply on exchanges and a dip in its supply outside of exchanges.
The fact that investors were selling was further proved by the spike in its exchange inflow.
Source: Santiment
Additionally, the whales also didn’t seem to have much faith in FLOKI, as the supply held by top addresses dipped.
Our look at Hyblock Capital’s data revealed that at press time, FLOKI’s whale vs. retail delta had a value of 51. This also meant that whales were not having much exposure in the market.
Source: Hyblock Capital
Realistic or not, here’s FLOKI’s market cap in BTC’s terms
As per our analysis of the memecoin’s daily chart, a continued price decline might push the coin down to $0.00008. However, a falling wedge pattern appeared on the chart.
In case of a bullish breakout, FLOKI might begin its recovery. A bullish breakout would allow FLOKI to first reclaim $0.00015 before it moves northwards and reclaims $0.0002 and $0.0003 in the coming weeks.
Source: TradingView
