The cryptocurrency market has witnessed significant volatility in recent months, with meme coins like BONK experiencing many price swings. After a remarkable rally in late 2024, BONK has undergone a major correction.
Currently trading at $0.00001316 with a slight decrease of 0.28% in the past 24 hours. Will the BONK price manage to reach $0.000019 with a breakout rally?
BONK Price Analysis
Bonk saw a sharp rally in November-December 2024, hitting a high of around $0.00005380. After this peak, the price went into a correction phase and dropped by more than 75%.
Recent price action indicates that BONK has created a double bottom pattern at the $0.00000942 support level. After testing this support level twice in March and early April, the BONK price has begun to rebound.
BONK found support at $0.00000942 and since then has surged about 32%. However, the trend will remain bearish as long as it trades below $0.00001989.
The BONK price, which had earlier reached its low, has retraced and is now coming closer to the 0.236 Fib level, which is the first key obstacle on a new uptrend. If this level is broken, it may ignite further recovery towards the next resistance area, which is the 0.382 Fib level.
The current price still remains below the 100 and 200-day EMAs, indicating that the bearish condition is still intact. A bearish trend will persist as long as prices stay below these EMAs.
The MACD line has crossed above the signal line, indicating there is a bullish signal. The histogram is also showing increasing positive momentum with new green bars forming.
BONK Price Targets
In case of a breakout, the immediate target would be $0.00001743. Followed by the crucial Fib level of 0.236 at $0.00001989. A decisive break above this level would confirm the trend reversal and could take the BONK price to the 0.382 Fib level.
On the downside, the price analysis warns that a failure to hold $0.00001200 could trigger selling pressure. This could send the price to test the low at $0.00000942.
Is BONK Gearing Up for a Breakout as Funding Rates Turn Bullish?
As per Coinglass, the OI-Weighted Funding Rate stands at 0.0055%. This reading reaffirms strong buying interest in the market, which can support a breakout of the resistance level.
If the resistance level is broken, it could fuel a further rally, and hence new swing highs for BONK.
Binance’s 1000 BONKUSDT perpetual contract is presently displaying a funding rate of 0.0071%, indicating a marginally bullish market sentiment. On exchanges overall, BONK’s funding rates are fairly balanced.
These moderate levels suggest neither buying nor selling pressure of an extreme kind in the perpetual futures market.
BONK’s long/short ratio is at 1.59 on OKX, with many more bullish positions than bearish positions within the market.
This ratio has risen from 1.14 in February to 1.91 in recent weeks.
