BONK is trading at around $0.00002041, up 5.32% in the past 24 hours
Price has retested and held above a falling wedge breakout on the daily timeframe
Technical analysis suggests a potential 77% upward move if it breaks above $0.00001955
Spot inflows ($14.18M) are exceeding outflows ($12.91M), indicating accumulation
Rising derivatives volume and Open Interest point to increasing trader confidence
Solana’s popular meme coin BONK has returned to where it began the month after experiencing back-and-forth price action throughout May. The token is currently attempting to stabilize around the 200 EMA after facing rejection near the $0.00002581 level, which pushed it back to around $0.00001820.
Technical analysts suggest this pullback isn’t signaling a bearish reversal but rather forming a bullish continuation pattern that could lead to a 77% corrective move upward.
BONK’s recent price retracement has brought it to an area of strong technical interest. The 200 EMA on the 4-hour chart may serve as the next support zone for the token. This retracement also aligns with the 0.618 Fibonacci level, which often indicates bullish corrections.
The price has been consolidating between the daily support zone ($0.00001832-$0.00001841) and resistance zone ($0.00002034) since May 15. According to analysts on TradingView, the price structure suggests buyers are stepping in to defend the trend, forming a higher low.
Volume analysis shows each upward impulse has displayed increasing volume since early April. The recent decline occurred on diminishing volume, suggesting seller exhaustion.
Bullish Indicators Strengthen Case for Upward Movement
Despite the current range-bound action, BONK remains within a bullish setup that could potentially drive it toward new 2025 highs and possibly toward its all-time high levels.
The key level to watch is the point of control (POC) resistance at approximately $0.00001955. This level previously acted as a pivot point before the pullback and now serves as the threshold for bullish continuation.
A confirmed close above this region could trigger a rapid move toward the next resistance cluster around $0.00002581, before potentially reaching the predicted target of $0.00003243. This would bring it close to its January 2025 open of $0.000035, representing a 77% rally from current levels.
At the time of writing, BONK is trading at $0.00002041, showing a 5.32% increase over the past 24 hours. Its behavior just above the POC resistance will be crucial. If buyers maintain pressure and secure a decisive breakout, conditions could be set for a strong rally toward upper resistance levels and a retest of BONK’s 2025 swing high.
On-chain data supports the bullish case. BONK has recorded $14.18 million in inflows compared to $12.91 million in outflows, creating a net inflow of over $1.27 million. This highlights growing accumulation pressure, suggesting more tokens are being held rather than sold.
Derivatives markets are also showing increasing interest, with volume rising 26.41% to $60.75 million, while Open Interest increased 15.81% to $23.86 million. This suggests traders are positioning for a significant move, likely anticipating a confirmed breakout.
The shift in BONK’s funding rate further supports the bullish outlook. The OI-Weighted Funding Rate is positive at +0.0091%, confirming a long-heavy sentiment among traders.
The liquidation heatmap reveals a dense cluster of short liquidation levels around $0.000021 and above. If BONK pushes through this area, it could trigger a cascading squeeze as trapped shorts are forced to close positions.
While social metrics have declined since late April, with social dominance dropping to 0.056%, this reduced hype may simply indicate a consolidation phase where market structure takes precedence over speculative chatter.
As long as inflow dominance and trader confidence remain intact, BONK’s price action should stay favorable. If it surpasses the crucial $0.000021 liquidation cluster, a rapid climb toward $0.000025 becomes increasingly likely.
This articles is written by : Nermeen Nabil Khear Abdelmalak
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