Selling At Major Resistance: Is Bonk Price Going To Lose More?

• The BONK price has declined by 13% in the past few hours.
• The 24-hour trading volume has increased by 117% to $2.20 Billion.

Bonk (BONK) price has witnessed a sharp rally amid this bull run in the cryptocurrency market. Donald Trump’s victory has positively impacted the crypto market, and all the altcoins have displayed a strong rally.

The BONK price has remained slightly bullish since the beginning of 2024. It has risen by taking support on an ascending trendline.

Bonk price has formed a morning star candlestick pattern on the ascending trendline. This bullish pattern has resulted in a 100% gain and lifted the price to the major resistance zone. During the daily time frame, the BONK coin price declined due to resistance from the major descending trendline.

BONK Price Outlook Based on Technical Chart

When writing, Bonk crypto traded at $0.0000329 with an intraday loss of 11.40%. The market capitalization was $2.47 Billion and ranked 39th in the cryptocurrency market. It is one of the best memecoins with huge bullish potential.

After a massive shoot-up, the price has witnessed price rejection. This could be a short-term profit booking.

If the digital asset price faces resistance from the major descending trendline, it could trigger bearish momentum. Historically, the BONK crypto price has witnessed selling pressure thrice in a year from this territory. The price repeated the same scenario in this territory, and a selling pressure could be seen.

It would be a selling situation if the crypto asset price fails to defend the $0.0000330 level. The price may melt to the 200-day EMA if buyers lose their domination. Turning to the technical indicators, the RSI has reached the overbought zone.

On the other hand, if the BONK price managed to defend the $0.0000330 mark, it could attract buyers. Suppose the price triggers a pullback and surpasses the last swing high; it would be a buying opportunity. Here, buyers may be eyeing another rally, and the price may record a new all-time high.

Analyst’s View on Bonk Rallies

@tradingheights, a crypto analyst, made a tweet regarding Bonk crypto. The handle mentioned Bonk’s “God Candle” indicated that a sharp price increase has made $0.000028 a crucial support level.

$BONK's God Candle

Bullish Momentum$BONK shows strong bullish potential, with price likely to keep climbing as long as 0.028 holds as support.

Bidding the S/R Flip
I’d consider bidding on that support/resistance flip for an optimal entry.

Shorts Caught Off… pic.twitter.com/u0NMTScPVX

— Trading Heights™ (@tradingheights) November 12, 2024

According to analyst Crypto_Chase, Bonk’s critical support level, which coincides with the upper Bollinger Band, was $0.000028. Remaining above this level could mean the trend is still upward, while any decline below it could mean it is about to reverse.

$BONK with the god candle.

Bullish for price to keep moving up as long as 0.028~ holds as support. I'd likely bid that S/R flip as well.

This is one of those moves that likely caught shorts off guard and they'll look to buy back anywhere near B/E if they get a chance. pic.twitter.com/qOXEkD6M9R

— Crypto Chase (@Crypto_Chase) November 12, 2024

Another analyst, Tradingheights, stated on X that BONK is a “God Candle” and that a more bullish run is still to come.

The analysts anticipate that the bullish trend will continue as long as Bonk stays above this level. Tradingheights advises using the support/resistance flip as a point of entry, mainly if the price remains high around this level.

BONK Price Analysis and Forecast

At press time, the BONK price has faced significant resistance. This has led to a recent decline amidst an overall bullish market.

With a notable increase in trading volume, it indicated investor interest. However, the current price action suggests a potential for short-term profit-taking or selling pressure.

The historical context of the price struggling at this resistance level raises concerns about further downward movement. That could be seen if it fails to hold above key support levels. However, a successful defense of the support could set the stage for a renewed upward trajectory and potential new highs.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.