BONK on the Brink: Will It Crash to $0.000009 or Skyrocket Past Resistance?

• BONK has exited its long-standing ascending channel, signaling a shift towards a bearish market structure.
• BONK maintains a confined trading pattern between $0.00001314 and $0.00001373 while waiting for a price breakdown from its current boundaries.
• BONK reached its highest trading volume of $1 billion during late November but experienced a major decline down to $50M because traders left the market.

Bonk ($BONK) analysis against USD highlights a significant shift in market structure following a breakdown from a well-defined parallel channel. Throughout most of 2024, $BONK moved within this ascending channel, using its trend lines as dynamic support and resistance. According to analyst Ali, BONK is closing in on the $0.000009 target after breaking out of a parallel channel.

BONK’s Key Support and Resistance Levels

The cryptocurrency is currently trading at $0.000013495, reflecting a 1.3% gain, but this minor recovery does not change the broader downward momentum.The support level is observed near $0.00001314, where buying interest has kept the price from falling further. On the upside, $0.00001373 acts as the resistance level, where selling pressure has capped further gains. 

Source: CoinmarketCap

Currently the market remains in a holding pattern because traders are waiting for prices to break out from their constrained trading range. If bullish sentiment strengthens and volume increases, BONK could breach resistance and move towards $0.00001400 – $0.00001420. Conversely, if selling pressure intensifies, the price could dip to test the $0.00001310 – $0.00001300 support zone.

BONK’s Trading Volume and Price Trends: From Surge to Decline

Data from Coinglass show that BONK traded at low volumes throughout a span from late July to early October as it remained within the $100M to $300M range without substantial price variability. Trading volume reached a significant peak during late October at the same time that prices exhibited a major upward change. The daily trading volume of BONK reached near $1 billion on November 24 while prices demonstrated a major upward trend at that time.

Source: Coinglass

Throughout December and January, BONK saw periodic volume spikes, though they were significantly lower than the late-November peak. The market’s successive price highs were progressively declining which indicated weakening bullish price action. The trading activity along with market interest decreased between mid-February as both volume and price declined toward $50M. Reduced trading activity appears likely when volume levels stay low since it indicates limited market participation.