Book of Meme reached a market value of 1 billion dollars rapidly but now remains in the shadow of its former peak. At the time of writing, the altcoin is trading at $0.0070. This value indicates that the Solana-based memecoin project is 74.78% below its peak in the first quarter of this year. However, on-chain data shows that the process is not yet over despite the token’s decline.
Sales Pressure Continues on BOME
BOME has seen a 20% increase in price over the last 30 days despite the recent downtrend. Technically, the token could see more gains, but these may be short-lived. The daily BOME/USD chart shows a falling wedge formation. By definition, a falling wedge is a bullish pattern observed when a cryptocurrency’s price experiences lower highs and lower lows following a previous increase.
This pattern also includes a consolidation period followed by a breakout. For BOME, the token is on the verge of another upward trend as shown below. If nothing changes this pattern, BOME’s price could target the peak resistance. However, according to Santiment data, the Weighted Sentiment around BOME is negative.
Weighted Sentiment tracks online comments about a cryptocurrency, and a positive rating indicates bullish sentiment among market participants. Conversely, a negative rating indicates bearish sentiment. If this negative sentiment continues, BOME‘s recent price rise may be short-lived as it might not be supported by increasing demand.
BOME Chart Analysis
Beyond the above perception, the Relative Strength Index (RSI) shows that buyers are trying to maintain pressure. The Relative Strength Index (RSI) is a technical indicator used to measure momentum. Decreasing RSI readings indicate weakening buyer strength, while an increase shows growing bullish momentum.
At the time of writing, the RSI recorded a value of 42.76, higher than days ago. Despite the increase in momentum, the rating has not yet crossed the neutral line, indicating that sustaining the predicted uptrend might be challenging.
A look at the Fibonacci retracement indicator provides insight into potential support and resistance levels that BOME‘s price could reach. From the image below, BOME’s price could reach $0.0075 in the short term. If buying pressure increases, the value could rise to $0.0093. However, if sellers eventually take control of the momentum, there is a risk of the memecoin’s price falling. In this case, BOME’s price could retract to the $0.0052 level.
