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Market sentiment around FLOKI remained bullish as its Altrank hit #1
While FLOKI’s price dropped by 5% in the last 24 hours, indicators hinted at a trend reversal
FLOKI broke above a bullish pattern a few days ago, which hinted at a sustained price rise. The latest datasets indicated that the memecoin was on the right track and was moving towards its targets. Meanwhile, a major proposal got passed, one that could fuel further growth on the charts.
A lot is happening with FLOKI
World Of Chart, a popular crypto-analyst, recently posted a tweet highlighting how FLOKI broke above a bull pattern. According to the same, FLOKI’s price entered a bullish symmetrical triangle pattern in March and successfully broke above it a few days ago.
The breakout could result in a +100% hike in the memecoin’s price. The tweet also mentioned that FLOKI has been on the right track, with the altcoin appreciating by over 15% since the aforementioned breakout.
In the meantime, the memecoin announced that a major proposal had passed. As per its official X handle, FLOKI DAO has voted in favor of burning 15,246,000,000 FLOKI tokens, with a majority of 99.84% voting in favor of the burn.
This deflationary characteristic might have a positive impact on FLOKI in the future since token burns affect circulating supply and in turn, they can push an asset’s price up.
There is one concern
Though both of these aforementioned developments looked optimistic, things on the ground were a bit different. According to CoinMarketCap , the memecoin’s price declined by nearly 5% in just 24 hours.
At the time of writing, the memecoin was trading at $0.0002121 with a market capitalization of over $2 billion. However, this trend might change soon.
LunarCrush’s latest tweet revealed that FLOKI’s Altrank hit #1. For starters, Altrank is calculated by combining special and market activity and FLOKI’s metric hinted at a price uptick soon.
To see whether that’s possible, AMBCrypto analyzed Santiment’s data. As per our analysis, despite the latest price drop, market sentiment around the memecoin remained positive, as is evidenced from its high weighted sentiment. Its MVRV ratio had a value of over 25% too – A bullish signal.
However, the memecoin’s funding rate increased, which could cause trouble. Generally, prices move the other way than the funding rate.
Source: Santiment
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Apart from the MVRV ratio and weighted sentiment, a few market indicators also looked optimistic. For instance, the Bollinger Bands suggested that FLOKI’s price was above its 20-day Simple Moving Average (SMA). Additionally, both its Chaikin Money Flow (CMF) and Relative Strength Index (RSI) registered price hikes, indicating that the bearish market trend might change soon.
Source: TradingView
