- BONK witnessed a massive decline in price as social volumes fell.
- Traders continued to keep their bearish stance as short positions taken grew.
Bonk [BONK], the most popular meme coin in the past few months, aided the growth of the Solana [SOL] ecosystem and attracted users to its network.
However, in recent times, luck hasn’t been on the side of BONK or its holders.
A massive decline
Since the 16th of December, the price of BONK has plummeted by 6.73%. The price of BONK only showcased lower lows and lower highs during this period, establishing a bearish trend for the price.
The CMF, sitting at -0.15 at press time, did not show a positive future for BONK as well. For the uninitiated, when the CMF is negative, it suggests that there is more selling pressure in the market.
Specifically, a negative CMF indicates that the close price is below the midpoint of the high-low range, and volume is weighted toward the lower part of the daily range.
This could imply that there is a higher volume associated with downward price movements.
It also suggests that sellers are more dominant in the market, potentially leading to a downtrend or a continuation of the current downward movement in prices.
However, on the positive side, there was an uptrend noticed in terms of the RSI, which was at 47.1 at the time of writing.
A low RSI suggested that BONK was slightly underbought at press time, and there may be some bullish momentum ahead. If the RSI continues to rise, there could be good news for the meme coin ahead.
Source: Trading View
Losing out on popularity
A major reason why BONK witnessed a price decline was due to its lack of social media presence. A declining social volume indicated that the chatter around the meme coin had fallen.
BONK’s Weighted Sentiment fell considerably during this time as well, suggesting that negative comments about BONK outweighed the positive comments at press time.
How much are 1,10,100 BONKs worth today?
However, AMBCrypto observed an uptick in BONK’s volatility. If this volatility persists, there may be a chance of an extreme price reversal in the future.
Source: Santiment
Traders continued to stay bearish around BONK at press time, as short positions continued to rise.
Source: Coinglass
