FLOKI Closes in on a Support Zone, Which Way Is the Memecoin Heading?

Like most cryptos, FLOKI also registered a major price correction over the last 48 hours. The memecoin’s latest setback pushed the token down to a crucial

After registering a minor price uptick earlier this week, memecoin FLOKI encountered a price setback on Friday. The token’s latest price decline brought it closer to a crucial support level, one that could determine its future price direction.

At the time of writing, FLOKI was trading at $0.0001189 with a market capitalization of over $1.14 billion, ranking among the top 60 crypto units. The memecoin was trading in the red over the last 24 hours, with a price decrease of around 2.2%.

However, a closer look at the token's鏈上 metrics revealed that only 57k FLOKI addresses remained in profit, accounting for 68% of the total number of FLOKI addresses, as per IntoTheBlock’s data.

As a result of the price decrease, FLOKI encountered a support zone at around the $0.000110 level, highlighted by Crypto Tony in a recent tweet. A slip below this level could be disastrous for the memecoin, as it might lose a significant amount of its market cap.

Considering this, it’s worth checking up on FLOKI’s state to assess the likelihood of it testing this crucial support level.

Our analysis of Santiment's data, as covered by AMBCrypto, revealed that FLOKI’s trading volume dropped along with its price. Usually, a drop in volume indicates that the chances of the ongoing price trend changing are high.

However, upon further analysis, we found that buying pressure on the token increased – A bullish signal. This was also supplemented by the massive drop in its supply on exchanges and the rise in its supply outside of exchanges.

The fact that investors were buying FLOKI was further proven by the spike in exchange outflows over the past week.

We then took a look at Hyblock Capital's data to identify possible support and resistance zones for the token. According to our analysis, in case of a bullish trend reversal, it won’t be surprising to see FLOKi touch $0.00013 in the coming days.

Since liquidations would rise at that level, it’ll be crucial for the memecoin to go above that level in order to maintain the bull rally. However, if the price continues to fall, then the token's price might plummet to $0.00009 soon.