Crypto expert explains why BONK price could go parabolic

November 20, 2024 at 3:07 pm

Edited by Jayson Derrick

Markets

Crypto expert explains why BONK price could go parabolic

Bonk price continued its strong rally, reaching an all-time high of $0.000060, making it one of the top-performing meme coins.

Bonk (BONK) was trading at $0.0000543, up by over 39,166% from its all-time low, giving it a market capitalization of $4.8 billion.

A crypto analyst has outlined why the token may have more room to run as Fear of Missing Out spreads across the industry.

In an X post, The Bonk Guy, who has nearly 80,000 followers, highlighted the token’s strong trading volume in key markets. Data from CoinGecko shows Bonk’s 24-hour volume exceeded $3.58 billion, making it the third-most-popular meme coin after Dogecoin and Pepe.

He also pointed out that Bonk’s trading volume on Coinbase, the largest exchange in the United States, surpassed that of Pepe, Shiba Inu, and Dogewithhat combined.

Notably, Bonk also recorded higher trading volume than Solana and Ether on Upbit, a leading South Korean exchange. Futures open interest for Bonk climbed to a record $51 million, indicating rising demand.

These metrics suggest Bonk has become a favorite meme coin among traders in the United States and South Korea. This could drive further growth as FOMO takes hold in these regions.

the $BONK chart looks like this while…

– BONK is trading more volume than $SOL on America's largest CEX Coinbase
– BONK is trading more volume than $PEPE + $SHIB + $WIF combined on Coinbase
– BONK is trading more volume than $SOL and $ETH combined on Korea's largest CEX Upbit… pic.twitter.com/IgF7EL0w82
— Unipcs (aka 'Bonk Guy') 🎒 (@theunipcs) November 20, 2024

Bonk’s rise has also bolstered Solana’s ecosystem, with trading activity surging. Data from DeFi Llama shows Solana’s decentralized exchange volume over the past seven days exceeded $43 billion—higher than Ethereum, Base, BSC, and Arbitrum combined.

Bonk price analysis

The daily chart shows BONK has been on a strong upward trajectory in recent weeks. It flipped the critical resistance level at $0.000047—its previous all-time high—into support.

The token has also formed a golden cross pattern, with the MACD and Relative Strength Index trending upward. The MVRVZ indicator has moved to 3, signaling bullish momentum. The next target for Bonk could be $0.000075 in the short term.

However, there is also a risk of a mean reversion, which could see the coin retest the 50-day moving average at $0.000028.