A closely followed crypto strategist is warning that one red-hot Dogecoin (DOGE) rival is now in a bearish trend.
Pseudonymous analyst Altcoin Sherpa tells his 202,700 followers on the social media platform X that Bonk (BONK) may print a dead cat bounce price pattern, a term used in finance to describe a small, brief recovery in the price of a declining asset.
“BONK: some sort of dead cat bounce coming I think. When this happens, I’m guessing other SOL memes have some sort of mini run as well; those will be good times to get out of your bags during that time. I do believe that BONK will have another strong run but it could take a bit and will need more time for accumulation to build a base. Eyeing this one for now.”
Looking at his chart, the trader suggests that Bonk will dip below the $0.00000989 level, bounce to around $0.0000170 and then dip again back below the $0.00000989 level.
The trader suggests that other meme coins will follow Bonk’s trend. He also suggests that Bonk will likely have a bullish reversal sometime next year.
“BONK: a bit more on this one that I should have highlighted on the last post: this one will eventually hit a +50% (or more) move. I don’t know where or when this will happen, but usually these types of coins will have some sort of lower high. See PEPE earlier this year…
This probably will be a good time to get out of BONK plus some of the other Solana meme coins. When BONK has a dead cat bounce, the others will inevitably follow but ultimately be lower highs. Hold at your own peril. Will this have a huge run in 2024? Probably. But I think it needs time to cool. Remember, we’re playing the attention game, and this is all based on overall rotations and which coin is on everyone’s mind (for now).”
Bonk is trading for $0.0000137 at time of writing, a gain of 7,427% since a previous run-up on October 19th at $0.000000182.
The trader also weighs in on Ethereum and predicts ETH will soon cross the key $3,000 level.
“ETH free trade to $3,000 underway.”
Ethereum is trading for $2,373 at time of writing, up slightly in the last 24 hours.
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