- Over the past 24 hours, FLOKI has seen a significant increase in popularity across social media platforms.
- FLOKI prices rose, but network growth continued to decline.
As Dogwifhat (WIF) took the limelight in the memecoin sector, tokens like Floki Inu (FLOKI) lagged behind. However, as the hype around WIF stabilized, overall interest in FLOKI increased.
Floki regains popularity again
Data from LunarCrush shows a significant rise in sentiment towards FLOKI. There has also been an increase in overall social activity around FLOKI. In this respect, FLOKI took first place, beating WIF, DOGE, and BONK.
Source: Santiment
These factors have led to a surge in token prices. In the last 24 hours the price of FLOKI is up 7.17%. Despite social indicators favoring FLOKI, the memecoin was unable to reverse its current trend.
Since testing the $0.00030927 level on March 14, the FLOKI price has fallen 30.51%. During this period, FLOKI price made several lows and highs, forming a bearish trend.
FLOKI would need to break the $0.0002558 level to break the current bearish trend, with the expectation of a reversal. Moreover, FLOKI’s RSI (relative strength index) reached 65.14, indicating a slightly overbought level.
This suggests that the price of FLOKI may have risen too quickly and is likely to correct in the short term.
Additionally, Chaikin Money Flow (CMF) has reached the -0.01 level, suggesting weak buying pressure and potentially consistent with an ongoing downtrend.
Source: Trading View
Looking at the data
Another factor that could hinder FLOKI’s growth is a decrease in the token’s network growth. AMBCrypto’s analysis of Santiment’s data shows that FLOKI’s network growth has plummeted over the past few days.
This meant that new addresses did not show too much interest in FLOKI tokens.
Additionally, the velocity of the FLOKI token has also dropped, meaning that the frequency with which FLOKI is traded has decreased.
This suggests that the recent price surge may have been caused by an accumulation of older holders deciding to buy more FLOKI.
Realistic or not, here is FLOKI market cap in BTC terms.
While this kind of accumulation may help prices look green in the short term, a new address is needed to sustain this kind of rally.
Source: Santiment
Additionally, FLOKI’s MVRV ratio decreased despite the price surge. This suggests that most holders are still incurring losses and may need to wait before selling their holdings for a profit.
Source: Santiment