FLOKI gearing up for a 60% jump? Decoding the price charts

• FLOKI’s value increased by more than 3% in the last 24 hours. 
• Buying pressure on the memecoin increased in the last week. 

After a week-long decline, FLOKI’s price has finally gained bullish momentum, as its daily chart was green.

There was some better news as well. If the latest data is to be considered, this just might be the beginning of a massive bull rally that could allow it to fully recover from its past week’s losses and even go above. 

Floki’s bullish pattern

According to CoinMarketCap, the memecoin’s price dropped by more than 11% in the last seven days hours. However, the last 24 hours were better as the memecoin’s price increased by over 6%.

At the time of writing, FLOKI was trading at $0.0001543 with a market capitalization of over $1.47 billion.

AMNBCrypto’s look at IntoTheBlock’s data revealed that 74% of FLOKI investors were in profit. But the number might increase soon as ZAYK Charts, a popular crypto analyst, recently posted a tweet highlighting an interesting development.

As per the tweet, a descending channel appeared on the memecoin’s 4-hour chart. The memecoin’s price started to consolidate inside the pattern in June, and at press time, it was on its way to breakout from the pattern.

If FLOKI successfully breaks out, then investors might witness the memecoin jump by over 60% in the coming days or weeks. 

Will FLOKI breakout?

AMBCrypto then analyzed Santiment’s data to find out whether the memecoin would manage to break out of the pattern. As per our analysis, investors started to accumulate the memecoin on a large scale last week.

This seemed to be the case as the memecoin’s supply on exchanges dropped drastically while its supply outside of exchanges increased sharply.

Another bullish metric was the MVRV ratio, which improved considerably over the last few days. However, whales didn’t make any major moves in the last seven days as the supply held by top addresses remained flat. 

We then planned to check the memecoin’s daily chart to see what market indicators suggested. The technical indicator MACD displayed an on-going tussle between the bulls and the bears.

Nonetheless, the rest of the indicators hinted that the bulls would turn out to be victorious.

For instance, the Chaikin Money Flow (CMF) registered a sharp uptick. 

Realistic or not, here’s FLOKI’s market cap in SHIB terms  

Its Relative Strength Index (RSI) also moved northwards, which indicated that the chances of a successful breakout above the descending channel were high. 

If a breakout happens, it would be crucial for the memecoin to first touch $0.000167, as liquidation would rise at that mark. But if the bears take over, then FLOKI might plummet to $0.00011 soon.