BONK, the Solana-based meme coin, is making a comeback. After a prolonged period of price stagnation, BONK has demonstrated renewed strength, breaking above key support levels and hinting at a potential bullish reversal.
A primary indicator of this resurgence is BONK’s accumulation above the 200-day support trendline. This suggests that investors are gradually accumulating the token, building a foundation for a potential price surge. Furthermore, the $0.000012 horizontal level, reinforced by daily EMAs, acts as a strong support zone, indicating a healthy demand for BONK.
The recent price surge, driven by increased open interest, is a positive sign. As more investors enter the market and open new positions, it suggests growing confidence in the asset’s future. This surge has pushed BONK’s price up by 3%, signaling a potential bottom formation and a renewed buying momentum.
However, it’s important to remain cautious. While the technical indicators suggest a bullish outlook, there are still potential risks. A potential death crossover between the 50- and 200-day EMAs could renew selling pressure, leading to a breakdown of the channel pattern support.
If BONK can break through the overhead resistance of $0.0000219, it could signal the end of the three-month correction. This breakout would open the door for a significant price rally, potentially reaching targets of $0.0000338 and even $0.000045.
In conclusion, BONK is showing signs of life after a prolonged correction. The accumulation trend, increased open interest, and positive technical indicators suggest a potential bullish reversal. However, investors should remain vigilant and monitor the market closely for any potential setbacks.