Floki Price Drops 10% After Iran Missile Strike on Israel
Floki Inu (FLOKI) fell 10% on Wednesday, October 2, as crypto market risk-off sentiment expanded after Iran's missile assault on Israel on Tuesday.
Since stabilizing in the mid-$0.00013s, slightly above its 50-day moving average (DMA), Floki has given bulls confidence that the market's early September bullish momentum would continue.
FLOKI fell 22% from last week's $0.00017s highs while testing its 200DMA.
This momentary stability leaves the Floki price exposed to additional fall.
Due to their speculative character and minimal usefulness beyond community support, meme coins are generally sold first amid market risk.
Investors are wary of international tensions, especially Israel's possible military retaliation to Iran's missile assault.
Israel may retaliate militarily before Friday, attracting large nations and disrupting oil supply, according to polymarket bettors.
FLOKI is especially vulnerable to such uncertainty in the crypto market.
Technical analysis shows FLOKI above its 50DMA, but bears fear a breach below the uptrend from August's $0.000097 lows.
This bearish breakthrough might send Floki to its prior lows if Israel conducts a major attack against Iran.
Oil prices might spike, complicating global inflation after central banks like the Federal Reserve lowered interest rates to curb inflation.
Disruptions to oil production, notably via the Strait of Hormuz, might deplete Saudi Arabian oil supplies and cause economic chaos.
Impact on worldwide markets and Floki price might be significant.
This might cause meme currency investors like FLOKI to panic and sell, worsening the decline.
