- Before its latest fall, the price of BONK climbed within minutes.
- The Fibonacci extension predicted a run toward $0.000012.
One hour after trading platform BitMEX announced that it was listing Bonk [BONK], the price jumped by almost 6%. According to BitMEX, the BONK trading floor would open on the 11th of March by 4:00 UTC.
However, users of the exchange would be able to see the cryptocurrency starting on the 8th of March.
But that was not the only announcement that caused excitement in the Bonk camp. BitMEX, in the same post on X, mentioned that it would reward some traders who actively trade the memecoin with some BONK tokens.
Source: X
The dog wants its rightful place
The recent listing comes off the back of the cryptocurrency’s performance. In the last 30 days, the price of BONK has increased by 229%. This performance has forced it to be mentioned in conversations with tier-1 memecoins like Shiba Inu [SHIB] and Dogecoin [DOGE].
With the recent listing, BONK would likely experience an increase in adoption. If adoption increases, then the value of the token might follow.
However, it is uncertain if that would happen within a short timeframe. AMBCrypto went ahead to assess if there was any change in its volume.
Using on-chain data from Santiment, we noticed that the volume jumped from 747 million to 812 million. The increase was proof of rising interest in trading BONK.
However, the token’s initial run to $0.000034 had slowed down as the price slightly fell to $0.000033.
Source: Santiment
Increasing volume and declining price action might not be great for BONK. Unless the volume increases alongside the price, the value of the cryptocurrency might continue to fall.
Recovery may come in full force after a retracement
At press time, the BONK/USD showed that the token had lost its previous bullish momentum. This was evident from the indications shown by the Moving Average Convergence Divergence (MACD).
From the chart below, the MACD reading was negative, indicating that sellers had taken over from buyers. Furthermore, the Relative Strength Index (RSI) showed that buying pressure had stalled. Should this continue, BONK’s price might drop to $0.000030 in the short term.
However, signals from the Fibonacci extension showed that the price could climb higher later. For example, the 0.786 Fib level was at $0.000045, indicating that an entry could be around that region. On the northward end, the 3.618 Fib positioned at $0.000012, suggesting that BONK could rally toward the region.
Source: TradingView
Is your portfolio green? Check the Bonk Profit Calculator
From a bearish point of view, the price of BONK might decline below $0.000030. But that potential decrease might not last. If buying pressure increases, BONK could have a first stop at $0.000089.
Afterward, the memecoin could replicate its 30-day performance by rising in the $0.000020 direction. For that to happen, a high level of liquidity must flow into the memecoin ecosystem.
