- Despite a red weekly chart, over 70% of FLOKI investors made profits.
- The metrics showed that the buying pressure on the memecoin was high.
FLOKIES Bears dominated the week as they pushed the price of the memecoin lower. However, the memecoin was close to breaking through a resistance, which could lead to a massive price increase in the coming days.
Let’s check the status of FLOKI to find out if a breakout was likely.
FLOKI’s optimistic outlook
The price of FLOKI has fallen by more than 5% in the last seven days. The last 24 hours saw a reversal as the memecoin’s value increased slightly.
At the time of writing, the Memecoin Trade at $0.0001146 with a market cap of over $1 billion.
According to IntoTheBlocks DataOver 55,000 FLOKI addresses made a profit, representing more than 70% of all the memecoin’s addresses.
Apart from that, the number of FLOKI investors holding the memecoin for more than a year also remained stable, indicating the confidence of long-term holders in the memecoin.
Source: IntoTheBlock
Investors’ confidence could soon pay off, as ZAYK Charts, a popular crypto analyst, pointed out an interesting development in a recent tweet.
According to the tweet, FLOKI was testing a horizontal resistance. A successful breakout above the pattern could trigger a 50% bull rally. If that happens, investors could see the memecoin reach $0.00017.
Source: X
Which direction is FLOKI going?
With the possibility of a massive bull rally looming, AMBCrypto checked the memecoin’s on-chain data. According to our analysis of Santiment data, the buying pressure on FLOKI has increased significantly.
This seemed to be the case as the memecoin’s supply on exchanges decreased significantly while its supply outside of exchanges increased. The fact that investors were buying FLOKI was further proven by the increase in exchange outflow.
Source: Santiment
However, whales decided to sell the memecoin as the supply from top addresses decreased, so AMBCrypto checked Hyblock Capital’s data to find out what the whales were up to.
The memecoin’s delta between whales and retail traders increased from 9 on August 18 to over 42 on August 19, indicating that whales were increasing their presence in the market.
Source: Hyblock Capital
We then checked the daily chart of FLOKI to see if technical indicators suggested a successful breakout above the above resistance.
The technical indicator MACD showed a bullish crossover. Its Money Flow Index (MFI) also recorded a strong uptrend, suggesting a price increase in the coming days.
Source: TradingView
Realistic or not, here is FLOKI’s market capitalization in BTC Conditions
In case of a price surge, FLOKI could initially target $0.00014. Liquidation would rise at this level, which could lead to a short-term price correction. However, if the bears gain control, the memecoin could crash to $0.00009.
Source: Hyblock Capital
