FLOKI mirrors BNB’s structure, indicating an upward move after grabbing sell-side liquidity, but trading volume stagnates.
- FLOKI mirrored BNB’s structure and pierced through the 200MA, but the RSI is oversold. FLOKI takes sell-side liquidity on the 4-hour chart but trading volume stagnating.
FLOKI, one of the leading memecoins, has attracted significant attention from crypto investors due to its success on Ethereum [ETH] and Binance Coin [BNB] chains.
After substantial gains in its previous bull run, FLOKI formed a double top and entered a consolidation phase, the same way BNB did before surging.
At press time, on the daily timeframe, FLOKI was displaying a similar structure to BNB, leading to high expectations that it could replicate BNB’s previous success.
Source: TradingView
Investors are closely watching for a potential upward move in FLOKI’s price action ahead of an anticipated bull run in Q4 of 2024.
The price action of FLOKI/USDT also dipped below the 200-day exponential moving average, raising concerns of rebound.
However, the RSI is in the oversold region, affirming the potential for a rally. This situation presented a strong buying opportunity for investors before a possible price rally.
The chart and market cap suggested a parabolic move, with analysts confident that FLOKI could soon reach a $10 billion market cap.
Using a simple date and price range analysis, a new all-time high is anticipated by January 2025, with another peak expected by mid-2025.
Source: TradingView
Sell-side liquidity grab as volume stagnates
On the 4-hour chart, FLOKI is following a descending trendline after tapping into sell-side liquidity from two consecutive equal lows.
The plan is for FLOKI to break above this trendline and then buy on the retest. This strategy aligns with earlier analyses, both suggesting that FLOKI is poised for an upward move soon.
Source: TradingView
FLOKI’s trading volume has been steady at levels seen before its June surge to a new all-time high.
This stagnation suggests a potential buying opportunity for investors, as the current volume could indicate a repeat of history, with FLOKI poised to reach new highs again.
Source: Coinglass
Realistic or not, here’s FLOKI’s market cap in BTC’s terms
Finally, a combined analysis of social volume, holder count, active addresses, network growth, and the profit-to-loss ratio of daily on-chain transactions shows rising activity for FLOKI memecoin.
This upward trend in the combined metrics suggests increasing interest and engagement, indicating potential growth for FLOKI.
Source: Santiment
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