BONK Coin Struggles To Recover After 85% Drop, Where Is It Going?

Boni (BONK) coin crashed with an over 85% drop from its all-time high. It peaked at about $0.00008 and plummeted, currently trading around $0.0000115.

The market value has been erased in billions, and no apparent recovery exists. As per CoinMarketCap, BONK’s market capitalization currently stands at $966.06 million, with a 24-hour trading volume of $154.83 million.

Amid this, BONK cin dropped sharply to find itself in a precarious position where it needs to prove that it is worth a trader’s time and interest.

Challenges Facing BONK coin’s Recovery

While recovery cycles have been seen in the broader cryptocurrency market following downturns, BONK does not fall into the same category.

Its strong fundamentals are lacking, so a steady comeback is unlikely. Unlike Dogecoin and Shiba Inu, which already built up communities behind them and have a story of ongoing development, BONK lacks those essential ingredients to help a sustained recovery.

Traders quote about these concerns on social media. They state that it’s unlikely that the token will again reach its previous price levels without adding an appealing narrative, a vibrant community, or significant development.

Meme coins have the power to drive investor interest and keep the hype going. BONK coin, however, has not been able to retain the enthusiasm needed for a significant push upwards.

Experts explain that it takes more than just high market capitalization for a struggling meme coin to be revived.

Additionally, BONK has lacked new fresh use cases to sustain in the graph, thus creating uncertainty.

The token initially benefited from its association with Solana ecosystem growth. However, its long-term value will be questionable without further adoption or real-world applications.

While DOGE has received the likes of Elon Musk endorsing it or SHIB, which is actively building its ecosystem, BONK coin has no roadmap that justifies the return on investors’ interest.

Technical Indicators Reflect Continued Weakness

As per analyst charts, BONK coin price action is bearish. As per multiple indicators the token is facing struggle.

In the daily chart, the price has been showing a downtrend. It seems unlikely to reverse anytime soon or take back its key support level.

After peaking, BONK coin has been forming lower highs and lows without exception. This means, selling pressure has been intense ever since.

The market structure indicates that the sharp collapse from all-time highs has yet to cement a cemented bottom near these levels.

While trading volume is substantial, the absence of significant upward thrust confirms that buying pressure is inadequate to fulfill a substantial reversal.

The charts further demonstrate an extended sideways movement. This following the sharp descent is often a sign of uncertainty on the part of investors.

BONK continues to face selling pressure on the four-hour chart, with the price stuck below its 50, 100, and 200 moving averages.

Due to this, selling pressure is still dominant. The 200-moving average at 0.00001327 is a key resistance level, and the token again failed to break above these levels, denoting a lack of bullish momentum.

Until a decisive move is above this level, there is a high chance of further downward action.

The Average Directional Index (ADX) is another indicator, positioned at 11.67, indicating no strength or trend in the trend.

ADXs below 20 usually indicate weak price momentum (the buyers are not yet buying, and sellers are not yet selling), so no one is in control.

In BONK coin’s case, unwavering investor confidence in making aggressive moves again is unlikely.

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