Market data reveals divergent trends for meme coins BONK and dogwifhat (WIF), reflecting the nature of the crypto sector. While BONK shows potential for gains, WIF faces possible downward pressure after a recent price increase.
These developments come as analysts closely monitor the broader meme coin market for signs of movement.
BONK’s Potential Gains and Technical Analysis
Analyst Decilizer commented on BONK’s performance, stating, “BONK is once again leading the way, and can trim 1 zero if this trend continues!” The analyst noted BONK’s previous 34x gains in the last rally, suggesting potential for further growth.
However, a technical analysis by altFINs offers a more conservative outlook for BONK. Their report indicates that BONK’s price recently dipped below its 200-day moving average and the $0.000020 support level, potentially signaling a downtrend.
Source: altFINS – Start using it today
AltFINs’ analysis describes BONK’s short-term trend as strongly downward, with a potential revisit to the $0.0000125 level. The firm explains, “Once a price breaks below a support zone, it signals that supply from sellers has overwhelmed demand from buyers at this level.”
Despite the bearish short-term outlook, altFINs notes that BONK’s long-term trend remains upward, while the medium-term trend is downward. This mixed picture suggests possible price fluctuations in the coming period.
For BONK traders, altFINs identified key levels to monitor. The nearest support zone is at $0.00002, followed by $0.0000125. Resistance levels are set at $0.00003 and $0.000037. These levels provide important reference points for potential trading strategies.
Next Big Airdrop?
Notcoin airdrop on Telegram made millions to people. Don’t miss out on the next TG airdrop by the same team – Dogs on Ton!
Show more +Show less –
Read also: Is Dogecoin Dead? DOGE Price Prediction
WIF’s “Dead Cat Bounce” and Trading Strategies
Turning to WIF, analyst Zen suggests a potential “dead cat bounce” scenario. This term describes a temporary recovery in a declining market, often followed by continued downward movement.
Zen’s analysis indicates WIF could reach a resistance zone around $1.88. “Still can get to the zone marked yellow with middle around ~1.88 but there I’d start looking for a short again,” Zen stated in a tweet.
Based on this analysis, short-term traders might consider shorting WIF near the $1.88 level, with a stop-loss around $1.95. For those looking to accumulate WIF, Zen suggests a potential buy-back level around $1.44, aligning with an identified support level.
$WIF is close to the top of dead cat bounce. Still can get to the zone marked yellow with middle around ~1.88 but there I'd start looking for a short again and buy back around ~1.48 pic.twitter.com/E8COTmKjx8
— Zen (@WiseAnalyze) August 7, 2024
Decilizer’s observations hint at broader market activity, mentioning positive trends for Bitcoin and increased interest in other meme coins like SHIB and PEPE. However, it’s important to note that the memecoin market remains highly speculative and volatile.
Captain just hit his first 100x among a lot 2-5xs. Want to be a part of a profitable community?Get all our future calls by joining our FREE Telegram group.
We recommend eToro 74% of retail CFD accounts lose money. Visit eToro Now Active user community and social features like news feeds, chats for specific coins available for trading. Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs. Copy trading: allows users to copy the trades of leading traders, for free. User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate. eToro offers staking for certain popular cryptocurrencies like ETH, ADA, XTZ etc.
The post BONK Aims High, dogwifhat(WIF) Faces Resistance: Analysts Highlight Memecoin Market Signals appeared first on CaptainAltcoin.
