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Floki price continued its strong rally this week, hitting a high of $0.000288 on Thursday, its highest level since June 7. It has jumped by over 180% from its lowest level in August, making it one of the best-performing meme coins recently.
Bitcoin surges to $97,000
The main catalyst for the Floki price has been the strong performance of Bitcoin, the biggest cryptocurrency in the industry. Bitcoin blasted past $97,000 for the first time ever, a big victory for a coin that was trading for less than $1 16 years ago. Most analysts now expect that the coin will jump to $100,000 in the coming days.
Most altcoins, especially popular meme tokens, thrive when Bitcoin is in a strong bull run. Besides, a coin like Floki is significantly cheaper than BTC, making it more affordable to retail investors.
Bitcoin’s surge has also led to a sharp increase in the crypto fear and greed index, which has moved to the extreme level of 90. Cryptocurrencies often do well when there is a sense of greed in the crypto industry.
Meanwhile, FLOKI has also jumped because of the rising token burns. Data by CryptoEye shows that the number of Floki tokens being burned has continued rising in the past few months, as shown below.
The number of tokens that have been burned has jumped to over 5.8 trillion, representing a 58% of all coins. Over 7.8 billion tokens have been burned in the past six months and $106 billion in the last 12 months. Altogether, tokens worth $26 million have been burned.
Burning is a process where crypto tokens are transferred to an inaccessible address to reduce the number of those in circulation. It is often compared to share buybacks, where a company decides to buy its own shares to boost its earnings per share.
Floki’s surge has also coincided with the rising open interest in the futures market. Data shows that the interest jumped to almost $40 million in the last 24 hours, the highest level since September 29. This figure would be higher if Floki’s futures were being traded in a popular exchange like Binance.
Floki’s volume in the spot market has also jumped sharply in the past few months. It had a volume of $1.3 billion in the last 24 hours, making it the fourth most active meme coin after Shiba Inu, Dogecoin, Bonk, and Pepe
This volume will likely continue rising now that the Floki coin will start being traded on Coinbase on Thursday.
Coinbase will add support for FLOKI (FLOKI) on the Ethereum network (ERC-20 token). Do not send this asset over other networks or your funds may be lost. Transfers for this asset are available on @Coinbase & @CoinbaseExch in the regions where trading is supported.
Floki price analysis
The daily chart shows that the Floki price has gone parabolic in the past few weeks. It has just surged past the important resistance level at $0.00021, its highest level in June 2022, flipping an important resistance level.
Floki is also hovering at the 23.6% Fibonacci Retracement level. Also, and most importantly, it has formed a golden cross pattern as the 50-day and 200-day Exponential Moving Averages (EMA) crossed each other. In most periods, this is one of the most popular bullish signs in the market.
Floki is now forming a bullish flag chart pattern, a popular positive sign. Also, the Relative Strength Index (RSI) and the MACD indicators have all pointed upwards.
Therefore, there is a likelihood that the coin will continue rising as bulls target the year-to-date high of $0.00034, which is about 30% above the current level. A break above that level will raise the possibility of Floki soaring to $0.00050. The stop-loss of this trade will be at $0.000225, its lowest point on Tuesday this week.
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