The price of FLOKI is testing a key resistance level, a barrier that could determine its next major move. Traders are watching closely as technical patterns and shifting market liquidity set the stage for a potential breakout, possibly similar to its explosive June 2024 rally.
Floki Coin: Sell Wall and Bullish Signals
FLOKI Coin has encountered resistance with a sell wall between $0.00009 and $0.00011, as order books reveal concentrated selling pressure. Breaking through this could result in a 43% rise from current levels, potentially up to $0.000145. To equal its June 2024 all-time high of $0.0003, which pushed its market capitalization above $3 billion at that time, the token requires a 3.7x rally.
Renowned analyst CW underlined this critical zone on X and emphasized its function as a make-or-break threshold. The recent 104% rise in trading volume indicates increasing pressure on the sell side of the wall. If demand surpasses the stacking orders, FLOKI could mimic its 2024 breakout, driven by meme coin hype, resulting in gains and affecting market liquidity.
The FLOKI price action aligns with global liquidity trends, particularly its correlation with the M2 Global Money Supply, which is currently bullish. Analysts suggest this could drive FLOKI even higher than its all-time high if liquidity continues to expand. This indicator often signals a strong upside for risk assets, such as FLOKI, during periods of rising liquidity.
Technical indicators are widely bullish. The daily RSI sits at 73, reflecting intense buying pressure and overbought conditions, while the MACD remains positive. Together, these signals show strong momentum and support the case for a potential surge.
Catalysts Ahead
The Floki coin has several factors pushing its price higher, including new partnerships and events that grab attention. The Rice Robotics team will soon launch the FLOKI M1 minibot, an AI-powered robot that rewards users with $RICE tokens for engaging in real-world interactions. Holders will receive airdrops, adding further attraction.
The impending Doge Memorial Event in May is also boosting meme coin interest, with FLOKI and BONK at the forefront of April’s meme coin gains. These improvements, together with expanding projects and bullish expectations, highlight FLOKI’s potential for traders.
If FLOKI breaks the $0.0001 resistance, other traders see potential for a surge to $0.0002 or even $0.0003. Strong momentum and volume are necessary for this move.
However, sharp price swings, regulatory uncertainties in the US and EU, and FLOKI’s substantial supply of 9.6 trillion could exert downward pressure on prices. Competition from new meme coins also adds challenges.
READ MORE: BONK Coin Clears Resistance, Traders Watch for 2x Gains
