Breakout Possible for BONK Price? Bullish Indicators Face Challenges
Bonk's 3.57% retracement today contributed to meme currencies' 3.04% average drop. However, signs suggest bullish momentum and a breakthrough.
Today's drop moves BONK farther into its ongoing slump, down 5.38% since last Thursday, lagging other significant cryptocurrencies.
BONK is gaining trading attention despite dismal price movement. The meme coin's trading volume rose 29.45% to $130.35 million in 24 hours.
Bulls Try Bonk Price Recovery
BONK's MACD shows an increasing bullish bias.
In an upswing, the MACD line (blue) is converging towards the signal line (orange), indicating a probable momentum change from negative to positive.
Since August 8, the Parabolic Stop and Reverse (SAR) dots have been below BONK.
This is an uptrend with SAR support, signaling the price will rise.
Challenges Keep Bulls Away—Can They Win?
BONK's MACD and SAR indicators say the meme currency is bullish, but its chart shows several key obstacles.
BONK's price is consolidating around the 50DMA (pink) and 20DMA (yellow).
These moving averages have not offered resistance or support, therefore price direction is unclear.
Thus, BONK has traded between $0.0001880 and $0.00002175 for nine days.
Momentum signs indicate that BONK demand may not be enough to rise. Most importantly, the purple RSI stays below its neutral line at 40. Though not oversold, the asset is negative.
Buyer caution may keep BONK from rising in the short future until higher demand materializes.
BONK's Chaikin Money Flow (CMF) is also stuck at -0.2. This suggests continuous selling pressure, making price rallies difficult.
For retest confirmation, traders should watch for a steady hold above the consolidation lower barrier.
If BONK can sustain this level, the 200DMA (blue) will be the next significant hurdle for a breakout from consolidation.
After that, recovery would aim $0.000025.
