Floki Price Analysis: FLOKI Price Jumps 6% Amid Coinbase Listing and Bullish Indicators

Floki Price Analysis: FLOKI Price Jumps 6% Amid Coinbase Listing and Bullish Indicators

Floki (FLOKI) has recently experienced a significant price surge following a bullish breakout. Since early March, the cryptocurrency had been consolidating within a bullish pattern and broke out on May 13. This breakout led to a notable 30% increase in FLOKI's value, sparking discussions about a potential major bull rally. Despite a minor setback, with its daily chart turning red and a price drop in the last 24 hours, FLOKI remains poised for continued upward momentum. 

FLOKI/USD 24-hour price chart (source: CoinMarketCap)

As of the latest data, FLOKI is trading at $0.000232, marking a 6% increase in the last 24 hours. Its market capitalization exceeds $2.18 billion.

Market Sentiment and On-Chain Metrics

The analysis of on-chain data provides a mixed sentiment among investors regarding FLOKI's future trajectory. While the number of daily active addresses has remained relatively stable, indicating sustained user engagement, there has been a slight decrease in new address creation. This suggests a cautious approach from potential new investors. Transaction volumes have seen a modest increase, reflecting a balance between profit-taking and new buying activity.

Despite the recent price pullback, certain on-chain metrics suggest underlying strength. FLOKI's weighted sentiment remains low, indicating a dominant bearish sentiment. Network growth has also declined, suggesting fewer new addresses are being created. Additionally, an increased funding rate typically signals that prices may move inversely, potentially leading to a downward trend. However, FLOKI's MVRV ratio stands at 28.4%, which is considered a bullish signal, and the long/short ratio has increased, indicating a growing preference for buying and holding the memecoin.

Technical Indicators Point to Potential Bullish Continuation

From a technical standpoint, FLOKI's price remains above its 20-day Simple Moving Average (SMA), and the Moving Average Convergence Divergence (MACD) indicates a bullish market advantage. However, the Chaikin Money Flow (CMF) has shown a bearish downtick, suggesting some caution among investors. Despite this, the overall technical indicators suggest that FLOKI may continue its bullish trajectory if it can maintain its current momentum.

FLOKI/USD price chart (source: TradingView)

The Bollinger Bands on the hourly chart show FLOKI stabilizing within a narrow range, with the middle band acting as a dynamic level of support and resistance. This stabilization phase is crucial as it indicates a potential gearing up for the next directional move. FLOKI faces critical resistance at $0.0002298, which it has tested multiple times. Consistently breaching this level could reinforce bullish sentiments and lead to further gains.

Impact of Coinbase Listing and Market Dynamics

The recent listing of FLOKI on Coinbase's Perpetual Futures service, alongside other popular meme coins like Shiba Inu (SHIB) and Bonk (BONK), has generated significant interest and trading activity. Following the news, FLOKI's trading volume surged, indicating robust trading activity. This increased volume has provided the liquidity needed for price ascension while also contributing to volatility.

Coinbase's listing has been met with optimism within the FLOKI community, and the introduction of 1,000-times multiplied smart contracts has further boosted trading activity. This move has positioned FLOKI among other prominent meme coins, attracting attention from both retail traders and institutional investors.

Looking ahead, FLOKI's price is expected to remain volatile as it navigates through support and resistance levels. If FLOKI manages to regain its bullish momentum, it could reach $0.00025 before the end of the week. However, increased liquidation at that level could lead to short-term price corrections. Conversely, if bearish trends persist, FLOKI's price might drop to the $0.00018 to $0.00017 range.

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