The Floki Inu price has performed badly in the past three days. Although today’s drop is currently less than a percentage point, Floki Inu lost 10 per cent of its value yesterday and 16 per cent the previous day.
Despite there being no major news that could trigger the current bearish trend of the crypto, the previous price gains were as a result of a boost from Elon Musk’s endorsements of meme coins. Last week, when reports about Musk’s Dogecoin lawsuit started to come out, there was fear in the market that this could impact the meme coin’s future.
However, through interviews and his Twitter account, Elon Musk indicated his willingness to continue supporting the Dogecoin meme coin. The news of his support saw almost all meme coins start to go up for the next few sessions. Unfortunately, that boost has likely come to an end for Floki Inu, which has been aggressively bearish for the past few trading sessions.
The chart below shows Floki Inu has traded within support and resistance levels of $0.0000050 and $0.000012, respectively, since May 12. The chart also shows that the prices failed to reach the resistance level in Floki Inu’s latest attempt. Instead, the prices started to reverse to the downside after hitting the $0.0000085 price level, and since then, the prices have been in an aggressive bearish trend.
With today’s prices trading at $0.00000638, I expect the current strong and aggressive bearish trend to continue. There is a high likelihood that we might see the prices hit the $0.0000050 support level again. It is also likely that, depending on the momentum of the bearish move, we will see the prices trading below the support level.
However, my analysis will be invalidated if the prices trade above the $0.00000800 price level. At that point, a new bullish trend will have been established.
This post was last modified on Jun 28, 2022, 14:51 BST 14:51