- Floki Inu joined other meme coins like Dogelon Mars in a major rally.
- Technical charts show that it moved above a double-top level.
- This rebound could be short-lived as the hype eases.
Floki Inu price soared to the highest level in months as meme coins suddenly woke up. The token jumped to a high of $0.000042, which was about 459% above its lowest point this year. Floki, according to CoinMarketCap, has a market cap of over $328 million, making it the 216th biggest crypto in the world.
Floki Inu, which is simply a dog-themed token, rose because of Elon Musk, who sent a tweet of his dog in Twitter. As a result, since Musk is a big supporter of Dogecoin, their prices jumped due to momentum. Meme coins like Dogelon Mars, Dogecoin, and even Shiba Inu all jumped.
Data shows that most of Floki Inu’s trades are happening in MEXC followed by OKX, Gate.io, and Uniswap V2. In most periods, such momentum-based trades don’t last long especially now that the news is relatively immaterial. Besides, tweeting a dog says nothing about Floki and other meme tokens. So, what next for Floki prices?
Read more: How to buy Shiba Inu.
Floki Inu price prediction
On the daily chart, we see that the Floki crypto price went parabolic on Wednesday. It managed to move from a low of $0.000019 to a high of $0.000042. As it rose, the coin managed to rise briefly above the important level at $0.000036, the highest point on February 7. It was also the highest level since March 2022. Further, by rising above this level, it managed to invalidate the double-top pattern that was forming.
This happened in a period of elevated volume. By adding trend indicators like moving averages. Therefore, I believe that this rebound will be temporary in the near term. Moving above the double-top could be a false breakout. As such, it is highly recommended for buyers to wait for a pullback before making their move.
FLOKI forecast (4H)
Turning to the 4H chart, we see that Floki Inu has formed a shooting star pattern whose upper side is at the intraday high of $0.000042. This is one of the most bearish patterns in price action analysis. On the other hand, it seems to have formed a cup and handle pattern, meaning that it is sending mixed signals.
Therefore, a clear picture of what happens next will emerge when Floki Inu price manages to move above the upper side of the shooting star at $0.000042. A major pullback to about $0.0000025 cannot be ruled out before this happens.
Contributors
