BONK posted an impressive 8.39% gain, climbing from $0.000028 to $0.000029 as the meme token maintains its upward trajectory. The rally represents a continuation of bullish momentum that has been building around a well-established support zone between $0.000027 and $0.000028.
The token made a push toward the psychologically important $0.00003 resistance level, where sellers stepped in to limit further advances despite positive underlying fundamentals. Technical analysis reveals that BONK hit an intraday peak of $0.00003 at around 09:58 UTC before pulling back by 1.58% to settle at $0.000029.
Nah bro this is actually insane $BONK is about to burn 2.38T tokens pic.twitter.com/Jw6WbKunsz
— Cloudz (@FamousCloudzz) December 24, 2024
Trading volume spiked during the retreat, indicating that profit-taking activity was driving the pullback rather than any fundamental shift in market sentiment. This pattern suggests localized selling pressure from traders capitalizing on recent gains.
Major Token Burn Event on the Horizon
The current price action coincides with anticipation surrounding a significant deflationary mechanism built into BONK’s protocol. Once the token reaches one million on-chain holders, an automatic burn of one trillion tokens will be triggered, representing one of the largest supply reduction events in the project’s history.
This upcoming burn event serves as a key fundamental driver supporting the recent rally, as reduced circulating supply typically creates upward pressure on token prices. The milestone-based burning mechanism adds a unique element to BONK’s tokenomics that differentiates it from other meme tokens in the market.
Technical Picture Remains Constructive
From a technical standpoint, BONK is operating within a 10.7% trading range between $0.000027 and $0.00003. The token has established a pattern of higher lows while maintaining strong consolidation near the lower end of this range.
The $0.00003 level proved to be a formidable barrier, triggering the 1.58% pullback accompanied by elevated volume that confirmed bearish rejection at this resistance point. Despite the short-term retracement, the overall structure remains bullish with ascending lows providing a foundation for potential future advances.
Market Sentiment Analysis
The combination of technical momentum and the upcoming trillion-token burn milestone suggests moderately positive sentiment around BONK in the near term. However, the resistance encountered at $0.00003 indicates that further gains may require sustained buying pressure to break through key overhead levels.
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