The cryptocurrency market witnessed a significant event as BONK, a popular meme coin on the Solana blockchain, saw its price skyrocket by 25% following a proposal to burn 84 billion tokens. This strategic move by the BONK treasury has not only reshaped investor sentiment but also driven the token’s market capitalization up by an impressive 24.77% to $1.77 billion.
The proposal, which aims to reduce token supply and potentially increase scarcity, has had an immediate impact on BONK’s trading dynamics. From an intra-day low of $0.00002, the token rebounded strongly to trade at $0.00002575, showcasing the market’s positive response to the burn initiative. This surge in price was accompanied by a staggering 151.63% increase in trading volume, reaching $516.43 million, indicating a significant uptick in investor interest and activity.
Technical indicators further support the bullish outlook for BONK. The Money Flow Index (MFI) at 53.22 and a strengthening Moving Average Convergence Divergence (MACD) signal sustained positive momentum. With an RSI rating of 57, analysts anticipate potential further upward movement, possibly targeting the $0.00003600 level. As the proposal advances towards community approval, market observers are optimistic about BONK’s prospects, with some eyeing a potential retest of its March all-time high of $0.00004704, despite the current price being 49% below that peak.
