FLOKI, was one of the standout meme coins in March. Recently, it broke out of an upward formation, providing profits to investors and drawing significant attention. Opinions suggest the trend might continue, potentially reaching new highs in the coming days. However, data indicates bears are entering FLOKI, possibly signaling a trend reversal.
FLOKI Coin Analysis
A statement from World Of Charts, a well-known name in the crypto world, drew attention. The analyst shared a tweet showing the outlook after the upward trend in FLOKI. To clarify, the memecoin broke its upward formation in mid-May.
Before the breakout, the memecoin’s price went through a consolidation phase for several weeks. Following this period, FLOKI achieved an 80% profit. This indicated that many FLOKI investors were in profit.
According to data from IntoTheBlock, 99% of investors were “still in the money,” suggesting their portfolios were positive. However, data from the last 24 hours indicated a potential reversal. CoinMarketCap data showed the memecoin’s price rose only 0.5% in the last 24 hours.
As of the time of writing, FLOKI had a market cap of 2.96 billion dollars and was trading at 0.0003122 dollars.
Will FLOKI Drop?
Data from Santiment showed that despite the recent price correction, weighted sentiment remained high. This clearly indicated that bulls dominated the market. Additionally, FLOKI’s social volume also increased.
Looking at most other on-chain data, a different picture emerged for FLOKI. The data suggested a potential trend reversal. For example, the MVRV ratio remained positive. The NVT ratio also saw a noticeable decline.
The decline in the NT metric indicates the asset’s value remained low, suggesting a potential price increase in the future. Additionally, the memecoin’s network growth increased last week, indicating more new addresses were created to transfer the token.
FLOKI’s daily chart showed its MACD reflecting a bullish trend once again. The Bollinger Bands indicated that FLOKI’s price was significantly above the 20-day Simple Moving Average (SMA).