The FLOKI cryptocurrency rose nearly 12% on October 14.
After a wave of pull-ups, a slight adjustment triggered a new round of buying.
After a big rally at the beginning of this week, FLOKI [FLOKI] has seen a fresh accumulation wave that could signal a potential upside in the near future.
On October 14, FLOKI surged by about 12%, but then experienced a strong adjustment after hitting an important resistance level.
But given the continued dominance of meme coins and the clear investor attention paid to FLOKI, should you join the trend?
FLOKI's position on the chart
Source: FLOKI/USDT, TradingView
On the higher time frame charts, FLOKI's market structure shows an uptrend after setting new highs on Tuesday. However, this rally has encountered resistance from the middle channel (yellow).
The lower edge of the channel has been an important support level since August and has been an area for bulls to enter the market. This support level also coincides with a buy zone close to $0.000014, making it a key demand area.
Therefore, this correction could be a buying opportunity with targets in the middle of the channel, the 200-day moving average or the highs. The trend of the stochastic indicator suggests signs of a reversal, supporting this growth forecast.
However, if the price falls below the channel low, the above price increase theory will be seriously affected.
Cumulative increase of FLOKI
Source: Santiment
Perhaps one of the most bullish data points is the increasing accumulation trend, which is reflected in the increase in supply outside of exchanges.
This means that many users have transferred their meme coins from centralized exchanges to their own wallets for holding. This shows that they are confident that the price will rise in the future.
At the same time, the supply on exchanges also declined during the reporting period. This indicates that the selling pressure on CEXs has eased, creating favorable conditions for further growth of FLOKI.
However, the weighted sentiment index is close to neutral levels, indicating that investors currently have no clear preference between rising and falling.
Overall, FLOKI's price did not show any clear trend preference after its sharp rise on Tuesday, and investors remained cautious.
However, a price pullback to key support levels could open up new opportunities for FLOKI investors, especially if growth momentum can revive strongly.
