BONK Price Upward Momentum Slows as Descending Resistance Gets Close
BONK price rises 61% since September low but now faces significant resistance. Will it get rejected and sent to a retracement?
Key Takeaways
- BONK struggles to break $0.000025 resistance after recent gains.
- Potential for uptrend continuation before rejection at resistance.
- A new bull phase is likely if support holds above $0.000019.
BONK experienced a significant surge and steep declines throughout 2024, reaching an all-time high in March before undergoing multiple retracements and consolidations.
A potential breakout could be on the horizon, but the ability to maintain key support levels will determine the start of a possible bullish phase.
BONK Price Analysis
On March 5, 2024, BONK soared to an all-time high of $0.00003771, representing a nearly 400% rise from its February low.
This surge was followed by a sharp 75% decline, reaching $0.000012 by April 13.
By May 29, BONK climbed to $0.000044 before falling to $0.000020 on June 24. The price briefly rebounded but ended with a lower high of $0.000034 on July 21, leading to another downtrend and a new low of $0.000015 on Aug. 5.
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It proceeded to consolidate, moving sideways and maintained above its Aug. 5 low, retesting it on Sept. 6 and 18.
Since the second retest, we have seen a rise, leading to a high of $0.000025 on Sept. 28, and we have shown signs of struggle.
The daily chart Relative Strength Index (RSI) entered the overbought zone as the recent high brought the price close to its descending resistance anchored at the March high.
We could see another attempt at the uptrend continuations for a proper interaction with the descending resistance, resulting in a rejection.
BONK Price Prediction
Zooming into the hourly chart, we can count the wave structure from Sept. 6 as a five-wave impulse, out of which the price is at its ending wave.
The struggle to surpass its $0.000025 resistance could be its wave four, which can lead to another minor downfall before it ends.
Alternatively, it ended on its last low of $0.000022, meaning the increase since then is its ending wave 5. Either way, this lower time frame confirms our assumption that an interaction with the descending channel’s resistance should be expected around $0.000026 before the current uptrend from Sept. 6 fully develops.
Read more: Bonk Price Prediction 2024: BONK Price Analysis
After it does, we can see a three-wave retracement to 0.618 Fibonacci retracement level at $0.000019.
If BONK establishes a higher support plateau after a five-wave rise, that would indicate a starting bull phase.
The uptrend should continue and lead to a breakout above the descending resistance, making a higher high of $0.000037.
However, failure to maintain the above $0.000019 will invalidate this possibility.
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