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FLOKI Price Reaches New All-Time High Following $12 Million DWF Labs Investment – Is Another 30% Surge Next?

Last Updated June 5, 2024 9:53 AM
Valdrin Tahiri
Last Updated June 5, 2024 9:53 AM

Key Takeaways

  • The FLOKI price has increased by 200% since its April 13 bottom, reaching a new all-time high today.
  • On June 4, the FLOKI team announced that DWF labs has purchased $12 million in FLOKI tokens.
  • How long will FLOKI’s increase continue after the all-time high?

FLOKI has been one of the best performing memecoins in 2024, trailing only PEPE. This impressive performance is highlighted by its recovery since the April 13 bottom.

After initially struggling with a horizontal resistance area, the FLOKI price broke out from it today, on June 5 and promptly reached a new all-time high. With FLOKI now in price discovery mode, where can we expect the next resistance level to be?

FLOKI Announces DWF Labs Funding Round

On June 4, FLOKI announced that DWF Labs, the market maker and Web3 investment firm has purchased $12 million in FLOKI tokens. These will be partially acquired from the market and partially from the FLOKI treasury. DWF Labs had also purchased $10 million FLOKI tokens  in February.

These purchases aim to strengthen Floki’s position in a year when it is expected to release several products, more specifically the Valhalla game, Floki trading bot, and the Floki Decentralized Domain Name.

Floki first announced  the DWF Labs partnership in May 2023, and the firm has helped facilitate many other partnerships and exchange listings. Shortly after the announcement, the FLOKI price started an upward movement that led to a new all-time high price today, on June 5.

FLOKI Reaches New All-Time High

The FLOKI price has increased since its April 13 low of $0.000109. Initially, the upward movement was contained inside an ascending parallel channel. However, the price broke out from the channel on May 27, validated it as support six days later (green circle) and started another upward movement.

The FLOKI price broke out from the $0.000295 resistance area today, on June 5. This is the final resistance area before a new all-time high. Shortly after the breakout, FLOKI reached a new all-time high of $0.000343.

FLOKI Price All-Time High
FLOKI/USDT Daily Chart | Credit: TradingView

Measuring from the April 13 low, the price has increased by 200%. The daily RSI and MACD are both trending upward, supporting the continuing of the increase.

FLOKI Price Prediction: What’s Next?

The daily time frame wave count also implies the upward movement will continue. According to the wave count, the memecoin is in the fifth and final wave of an upward movement (white) that started in September 2023. The fifth wave started after the April 13 bottom.

The fifth wave increase has already become parabolic, often a sign of a fifth wave extension. If this is the case, a potential target for the top of the increase is at $0.000663, nearly 100% above the current price. The target will give wave five 0.382 times the length of waves one and three. It also coincides with the middle of an ascending parallel channel connecting waves two, three and four.

FLOKI Price Wave Count
FLOKI/USDT Daily Chart | Credit: TradingView

Before the price gets there, there will be intermediate resistance at $0.000436. The 1.61 external Fibonacci retracement of wave four (black) creates this resistance.

Despite the bullish FLOKI price prediction, a breakdown from the channel will invalidate the bullish count and imply the fifth wave is already over. In that case, FLOKI could return to the closest long-term support at $0.000150.

FLOKI’s Increase to Continue

FLOKI’s  200% increase culminated with a new all-time high price of $0.000343 today. The price action, indicator readings and wave count all suggest the increase will continue. While FLOKI is likely in the final wave of its increase, this can continue for an upward movement of another 100%.

Disclaimer
Please note that the contents of this article are not financial or investing advice. The information provided in this article is the author’s opinion only and should not be considered as offering trading or investing recommendations. We do not make any warranties about the completeness, reliability and accuracy of this information. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. Any investor, trader, or regular crypto users should research multiple viewpoints and be familiar with all local regulations before committing to an investment.
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