FLOKI has been attempting to recover from recent price losses, but its efforts are hindered by weak investor support.
The meme coin has struggled to sustain momentum, despite a slight uptick. FLOKI faces the ongoing threat of selling pressure from short-term holders (STHs) who may capitalize on any profits.
FLOKI Investors Are Bearish
The MVRV Long/Short Difference for FLOKI is currently deeply negative at -40%, indicating that short-term holders are currently in profit. This is a concerning sign for FLOKI’s price, as STHs are generally more likely to sell at the first signs of profits. If these holders decide to liquidate, FLOKI may face significant downward pressure.
The negative MVRV ratio suggests that FLOKI is at risk of seeing a sharp decline, as STHs are prone to selling quickly. When these investors take profits, it can lead to increased selling activity, further weakening FLOKI’s price and hindering any recovery attempts.
Looking at broader market conditions, the Relative Strength Index (RSI) for FLOKI is still below the neutral 50.0 mark, indicating that the momentum is not strong. While the RSI has recovered slightly after being oversold, it remains in the bearish zone. This suggests that the market is not yet showing clear signs of a bullish reversal, leaving FLOKI vulnerable to further declines.
The lack of strong bullish momentum in the broader market is contributing to FLOKI’s inability to sustain a recovery. While a reversal in the RSI could eventually trigger an uptrend, the current market sentiment and technical indicators are still too weak to signal a strong and sustained rally for the meme coin.
FLOKI Price Recovery May Not Be Certain
Currently trading at $0.00007121, FLOKI has seen a 12% increase over the last 24 hours. The meme coin is attempting to flip the $0.00007132 resistance level into support. However, this level has been difficult to break, and it is uncertain whether FLOKI will be able to sustain this momentum.
Based on current market conditions, FLOKI is likely to consolidate between the $0.00007132 and $0.00005903 levels. Even if the altcoin manages to flip $0.00007132 into support, it may struggle to rally further without more investor confidence. The price could remain stuck within this range for the foreseeable future.
To invalidate the bearish outlook, FLOKI must breach the $0.00009357 resistance and rise above $0.00011036. A successful break above these levels would signal a potential bullish trend for the meme coin, but this will require stronger investor support and a more favorable market environment.
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