Floki price has held steady in the past few days as traders watch the ongoing token burn and the upcoming Valhalla mainnet launch. The $FLOKI token has remained between the key support and resistance levels at $0.00020 and $0.00028 since November 12.
Floki burn rate grows
Third-party data shows that trillions of coins are being removed from circulation each month. According to CryptoEye, over 5.9 trillion tokens have been burned in the last 90 days. Most of this burn happened in May when the community voted to burn over 15 trillion FLOKI tokens.
A token burn is a situation where tokens are removed from circulation by being sent to an inaccessible address. In most periods, these burns make the remaining tokens more valuable. In Floki’s case, the burn has reduced the coin’s total supply to 9.67 million.
Floki price has also consolidated ahead of the upcoming mainnet launch of Valhalla. The launch, which was scheduled to happen this month, was recently postponed until the first quarter of 2025.
The developers noted that the delay was necessary as it will help the platform undergo more vigorous testing by Hacken and OpenZeppelin, who will conduct a comprehensive audit of its smart contract. The goal is to ensure that it will be safe when it is launched fully.
Valhalla has been around on its testnet for the past few years. It is the network’s flagship utility project and metaverse game that will have play-to-earn features.
Floki price has formed a bullish flag pattern
The daily chart shows that the Floki price has been in a consolidation phase in the past few weeks. It has formed a rectangle pattern whose support and resistance levels are at $0.0002062 and $0.00028. This pattern is part of the formation of the bullish flag, a popular continuation sign. In most periods, an asset confirms a breakout when it moves above the upper side of the flag.
Floki’s price has moved above the 50-day and 25-day Exponential Moving Averages. It has also moved between the 38.2% and 23.6% Fibonacci Retracement levels and Andrew’s pitchfork tool’s first and second lines.
Therefore, the outlook for the FLOKI price is neutral for now. A move below the support at $0.000206 will confirm the formation of a double-top pattern, a popular bearish sign. More gains will be confirmed if it rises above $0.00028. If this happens, it will rise to a record high of $0.000348.
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