- FLOKI has declined by 2.71% over the past day.
- Fundamentals showed a strong bullish crossover, signaling a potential uptrend.
Although the month has seen memecoins reach a high over the past month, volatility has also increased. Amidst these memecoin fluctuations, Floki [FLOKI] has not been spared.
Since hitting a recent high of $0.000176, the memecoin has seen significant losses. In fact, as of this writing, FLOKI was trading at $0.000144.
This marked a 2.71% decline over the past day, with the memecoin dropping by 1.38% on weekly charts.
Prior to this decline, FLOKI had been on an uptrend, hiking by 5.11% on monthly charts. Despite the recent market conditions leading to price decline, the latest price action shows optimism.
Source: TradingView
Notably, FLOKI has seen a bullish crossover as the 20 EMA moved above the 200 EMA. With the golden cross set in place, it signaled a potential continuation of an upward momentum.
This bullish crossover suggested a shift in market sentiment from a downtrend to an uptrend. It indicated that buying pressure was increasing, and investors were showing optimism over future price movements.
If this holds, it will imply that the recent downside is a mere market correction before starting another uptrend.
Historically, when the golden cross appears, it usually triggers increased buying activity among traders and investors.
This further drives prices up as market participants act on the bullish signal, reinforcing the upward momentum.
What’s next for FLOKI?
The current conditions could set FLOKI for recovery on price charts and reclaim the monthly bullish trend. Although, the memecoin is declining on daily charts, the overall market remains bullish.
IntoTheBlock
This market sentiment is further supported by reduced outflow among large holders. For the past week, large holders have turned to accumulation as they keep their FLOKI, waiting for price appreciation.
A lower outflow by experienced investors, institutions and whales, signals positive sentiment with them being bullish.
Therefore, with the bullish crossover, the buying opportunity arises which will enable new buyers into the market. Usually, new buyers lead to increased demand, thus driving prices up.
Realistic or not, here’s FLOKI’s market cap in BTC’s terms
Although FLOKI has declined, in the past week, this shows, that the memecoin is well positioned to reclaim a higher resistance level of $0.00016.
A breakout from this level would strengthen the memecoin to attempt the $0.00020 resistance level.
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