The cryptocurrency trader and analyst KALEO on X revealed today that he purchased Bonk (BONK) when the cryptocurrency was approaching a resistance level. Traders often avoid purchasing a cryptocurrency at a high, but the trader’s exception with BONK seems to have worked out.
turns out buying the top @ resistance worked this time fellas pic.twitter.com/xnyEgE69ow
— K A L E O (@CryptoKaleo) November 9, 2023
At press time, CoinMarketCap indicated that the altcoin’s price surged more than 65% over the past 24 hours. This substantial gain also pushed BONK’s weekly performance deeper into the green zone to over 132.42%. Overall, the cryptocurrency was changing hands at $0.000001841.
Along with the strong price movement, BONK also recorded a 34.50% increase in its daily trading volume. Subsequently, the altcoin’s 24-hour trading volume stood at $48,136,132.
Daily chart for BONK/USDT (Source: TradingView)
BONK was able to break past the $0.000009375 resistance level over the past couple of days. Furthermore, the altcoin was attempting a challenge at the $0.0000021255 barrier at press time. Should it close a daily candle above this major mark, then it will clear a path for it to continue rising to $0.0000029350 in the following few days.
On the other hand, BONK’s failure to close a daily candle above $0.0000021255 within the next 72 hours could invalidate this bullish thesis. Consequently, traders may begin taking profit, which could lead to the cryptocurrency’s price falling back down to $0.000009375. Thereafter, continued selling pressure could force BONK’s value to as low as $0.000005060 in the short term.
Traders and investors will want to note that the Relative Strength Index (RSI) indicator on BONK’s daily chart showed that the cryptocurrency was in overbought territory. This is normally seen as a bearish signal by traders. As a result, BONK’s price may be at risk of undergoing a correction in the coming 24-48 hours.
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
