Bonk ($BONK) Price Jumps Due to Burning Event, Can It Still Go Up?

Bittime - The price of Bonk ($BONK) has skyrocketed again after a significant burning event. This event removed 1 trillion tokens from circulation, reducing supply and causing the price of $BONK to skyrocket. 

With prices increasing by 40% in the past week, many investors are wondering whether this increase will continue or is just a temporary phenomenon. What are the future prospects? Let's analyze together!

What Drives $BONK Price to Reach New Peaks?

In recent months, $BONK has been in a fairly sharp price decline phase. However, since the last three months, this memecoin has begun to show signs of consolidation. 

The $BONK developers introduced a new strategy to reduce supply by burning 1 trillion tokens. This is not the first time the $BONK community has used this tactic to drive up prices. 

Last April, they burned 278 billion tokens and managed to trigger a 40% price increase in less than 24 hours.

This burning event caused the number of available tokens to decrease significantly, thereby pushing the price of $BONK up. In addition, positive sentiment also comes from increasing interest among the community, which is increasingly optimistic about the long-term potential of this token.

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Impact of the Burning Event on the Price of $BONK

Historically, November has often been a bullish month for the crypto market, especially due to the increased liquidity in the market along with election season. With the supply of $BONK tokens decreasing, market demand has become stronger, pushing the price to its highest level in recent months.

Burning 1 trillion of these tokens is a big step towards reducing supply and potentially making prices move higher. This week, the price of $BONK reached a high of $0.00002468 (around Rp. 0.38). 

This price movement is approaching the resistance line in the Bollinger Band, which indicates a bullish trend. With the RSI rising to the level of 55.54—indicating strong buying pressure—the price has the potential to move higher before entering the overbought zone.

Can $BONK Price Keep Rising?

With memes like $BONK tending to be volatile, technical analysis can provide guidance on potential future price movements. The Coin Republic. Here is the analysis:

Main Resistance 

Currently, the main resistance level is at $0.00002468 (around IDR 0.38), which is at the upper point of the Bollinger Band. If the price manages to break through this level, it is possible that $BONK could rise to the previous price level or even higher, which would attract more buyers.

Support Level

On the downside, the important support level is at the 20-day SMA at $0.00002117 (around Rp. 0.33). In the event of a decline, this level could be an entry point for new buyers to support the price. 

Advanced support is at $0.00001766 (around Rp. 0.28), which could be the last point of resistance if selling pressure increases.

Relative Strength Index (RSI)

With the RSI in the 55.54 zone, $BONK is showing moderate bullish signals. The RSI position above 50 indicates that buying pressure is still stronger than selling pressure, which opens up opportunities for $BONK to print further increases.

Community Interest and Bonk Price Prediction ($BONK)

The crypto community on platform X (Twitter) shows great enthusiasm for $BONK. Some users even predict that the price of this token could jump to the range of $0.0001-$0.00015 (around Rp. 1.56-Rp. 2.34). 

If this happens, $BONK's market capitalization will reach around IDR 7.48 trillion to IDR 11.22 trillion. This expectation reflects the belief that supply reduction measures undertaken by the community may push the market value of $BONK higher in the near term.

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Will Bonk Price Increases Continue?

With bullish sentiment driven by reduced supply and increased community interest, the opportunity for $BONK to continue rising is still quite large. 

However, volatility risks remain, especially with the potential for profit-taking following significant price increases. If the price manages to break through the key resistance, we may see a continued rise towards higher price targets.

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