Bitstamp announces the listing of BONK, leading to a positive price reaction.
- As Bitstamp announced the listing of BONK, its price reacted positively. Activity for BONK on the social front grew significantly.
Bonk [BONK] was one of the memecoins that garnered massive popularity in the beginning of the year. However, as time passed, its popularity started to wane alongside its price.
However, things could take a turn for the better for BONK going forward. According to a recent tweet by Bitstamp, the BONK token will be listed on the exchange soon.
The news of the listing and the potential for increased liquidity for the token could attract addresses to the network in the future.
How did BONK react?
The announcement caused the price of BONK to witness an uptick. At press time, BONK was trading at $0.000022 and its price had grown by 2.2% in the last 24 hours.
Even though this surge in price was significant, it wasn’t material enough to impact the overall trend of BONK. Since the 30th of May, the price of BONK declined significantly.
BONK’s price showcased multiple lower lows and lower highs during this period, which were indicative of a bearish trend.
The recent uptick in BONK’s price wasn’t high enough to indicate a potential reversal of a trend.
The $0.000022497 resistance would need to be tested and weakened if a reversal is to be made. If BONK manages to surpass those levels, it could possibly reach the $0.0003654 level in the distant future.
However, for this to occur, a high amount of bullish momentum would be required.
The RSI (Relative Strength Index) for BONK had declined significantly in the past few days, implying that bullish momentum had been waning.
Moreover, the CMF (Chaikin Money Flow) had also decreased, indicating that the money flowing into BONK had decreased.
Source: Trading View
Looking at the social data
Even though indicators were not supportive of a bullish narrative for BONK, social metrics revealed a different story.
AMBCrypto’s analysis of Santiment’s data indicated that Social Volume had grown steadily over the past few weeks, implying a surge in popularity for the token.
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Moreover, its Social Dominance had also risen, indicating that BONK was outpacing other tokens in terms of popularity.
Coupled with that, the Weighted Sentiment showed that positive comments around the token had grown. The popularity of a memecoin plays a significant role in its long-term price movement.
Source: Santiment
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