Memecoins
BONK Price Prediction: What to Expect from Memecoin in July
- Despite a previous bearish outlook, increasing social dominance and volatility suggest higher value.
- The RSI on the 4-hour chart indicates a brief decline towards $0.000021.
The price of Bonk [BONK]one of the best memecoins on Solana [SOL]has increased by 14.02% over the past seven days. At press time, BONK was changing hands at $0.000023.
A few weeks ago, the token’s value fell below the $0.000020 support as some market participants placed the BONK price prediction at bearish targets. However, increasing volume over the last 24 hours indicates that interest in the cryptocurrency has improved.
Furthermore, it is important to emphasize that an increase in volumes is not a prerequisite for a price increase. Most of the time it also depends on the direction of the price. If the volume increases along with the price, the value could continue to increase.
Down but not out
But in a situation where prices are falling and volume is falling, the downward trend could intensify. To verify the BONK price prediction, AMBCrypto looked at the volatility.
For memecoins, volatility is like an additional feature compared to regular cryptocurrencies. Indeed, prices can skyrocket in a short time. He can also dive in the blink of an eye.
According to Santiment data, BONK one-day volatility reached notable heights on June 27. However, even though the figure had fallen at press time, it still shows that rapid short-term moves appear possible.
Source: Santiment
If buying pressure increases, BONK could rally and target $0.000025 again. However, if holders of the token decide to take advantage of the gains from the recent rally, the value could drop to $0.000022.
Besides volatility, social dominance is an indicator that has also increased. This metric is crucial for BONK price prediction because it provides insight into the rate of discussion on a project.
Historically, data has shown that increasing social dominance can predict rising prices. But when it gets too high, it means FOMO has set in.
BONK rebound is near as the new month approaches
FOMO means Fear of Missing Out. This is terminology used to describe an influx of buy orders when the price of a token has gained significantly.
Most of the time, those who enter later make minimal profits or lose as prices might correct soon after.
As of press time, BONK social domination The exchange rate reached 0.034%. If this rate continues to rise, demand for BONK could increase.
If this happens, then BONK could recover from its recent downturn. However, this price prediction does not mean that memecoin would surpass its price. record level in July.
Source: Santiment
For this to happen, buying pressure needs to be similar to March. From a technical perspective, AMBCrypto looked at the 4-hour chart which indicated that BONK might move lower first.
This was evident in the relative strength index (RSI). The RSI measures the momentum of a cryptocurrency. This can be either bullish (line up) or bearish (line down).
At press time, the RSI on the BONK/USD chart was trending down, indicating that buying momentum was no longer strong. As such, the price prediction could be a drop to $0.000021.
Source: TradingView
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The Fibonacci retracement indicator, which indicates resistance and support levels, provided insight into the prediction.
Based on our analysis, if BONK does not fall below the 50.00 RSI midpoint, a rebound towards $0.000030 could be possible in July.