Bonk Price Prediction: BONK Falls 5%, but Will History Repeat to Send the Meme Coin Surging?

The $BONK price entered into a strong bullish move on Jan. 8 after it rebounded off of the $0.0000088550 support level. This led to BONK breaking above the $0.0000128480 resistance level and attempting to overcome the $0.0000192765 barrier as well. However, traders took profit, stopping BONK in its tracks as a result. The BONK price then retraced to the $0.0000128480 mark. 

Currently, traders are attempting to pull the #Bonk price below this significant price point. What’s interesting is that the current setup is similar to the setup that resulted in the aforementioned bullish move for the meme coin. Should history repeat, the altcoin may rise to the closest resistance level at $0.0000192765 in the next couple of days. Continued buy pressure could lead to the crypto breaking above this threshold and potentially rising to as high as $0.0000290295 in the short term.

Still a Large Amount of Downside Potential

This bullish thesis may be invalidated if the Bonk price closes a 4-hour candle below $0.0000128480 in the next 12 hours. In this more bearish scenario, the #memecoin could be at risk of falling to the $0.0000088550 support level through the course of the following week.

Traders and investors will want to note that the Relative Strength Index (RSI) on BONK’s 4-hour chart was close to oversold territory. Traders may see this as a launchpad for a strong bullish move. Supporting this bullish outlook is the positive slope of the RSI line, which indicates that bulls are currently growing stronger against bears.

Despite this, the RSI line is positioned below its Simple Moving Average (SMA) line, which suggests that sellers still have the upper hand against buyers. As a result, traders may want to wait for the two lines to cross before going long on the meme coin. In addition to this, the Moving Average Convergence Divergence (MACD) line is breaking away below the MACD Signal line. This may be a sign that BONK’s negative trend is not over yet.