Bonk shows strong bullish potential, poised for breakout and significant price surge.
- As at press time, Bonk led by gains for top 100 cryptos by markets cap. The Open Interest for Bonk Futures were at highest levels since the start of August.
The crypto market sentiment is shifting to bullish after Bitcoin’s [BTC] recent upward trend, driving overall market momentum.
In the last 24 hours, memecoins have taken the spotlight, suggesting a potential memecoin season.
Leading the gainers list among the top 100 cryptocurrencies by market cap is Bonk [BONK] which is up by 3.8%, followed by Dogecoin [DOGE] with a 3.2% increase.
Ripple [XRP] also saw a 3.2% gain, while dogwifhat [WIF] and Popcat [POPCAT] rounded out the top five.
Source: CoinGecko
The memecoin not only led in percentage gains but also surpassed Sei [SEI], a Layer 1 blockchain, by market cap. This development underscores Bonk’s growing potential in the long term.
BONK consolidating in a symmetrical triangle pattern
Bonk’s price action is currently displaying strong bullish momentum, raising the question of whether BONK/USDT will break out and surge higher as we approach the final quarter of the year.
This period is historically bullish for the crypto market.
The pair is trading within a large symmetrical triangle, with the price moving closer to the resistance of this pattern.
The symmetrical triangle, which has been forming since the start of the year, indicates that traders and investors have accumulated significant amounts of Bonk. The potential for a breakout seems imminent.
Earlier, the pair formed a triple bottom at the $0.000016 zone, a pattern that typically signals a reversal.
Source: TradingView
This triple bottom has been confirmed by a break above the neckline, but a breakout above the upper resistance is crucial for the bullish scenario to play out.
Several indicators support the idea that Bonk could break out and rally. For instance, the MACD has fully flipped bullish, with the histogram bars indicating increased buying momentum.
This further strengthens the bias that it could break above the resistance and pump significantly.
If the breakout occurs, traders could see a potential return of more than 70%, from the breakout zone to BONK’s all-time high.
The Futures market shows growing interest
Examining Bonk’s Futures Open Interest across all exchanges reveals increasing interest in the token as its price action gains strength.
Since the beginning of August, Bonk’s Open Interest has reached new highs this week, marking the highest values in the past two months.
Source: Coinglass
This growing Open Interest further supports the possibility of a major breakout for Bonk, as more traders and institutions show interest in its price movements.
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