Bonk (BONK) has corrected into a confluence of major supports, including the 0.618 Fibonacci retracement and the 200-day moving average. Holding this zone increases the probability of a full rotation back toward the highs.
Bonk’s price action has entered a corrective phase following its recent bullish expansion, but technical signals suggest the correction may be nearing completion. Price is now consolidating around a critical support area that combines the 0.618 Fibonacci retracement with the 200-day moving average. This dual confluence provides a strong technical foundation for a potential reversal.
The 0.618 Fibonacci retracement, often referred to as the “golden pocket,” is one of the most reliable zones for trend continuation in bullish markets. Assets that respect this level frequently resume their upward trajectory after short-term corrections. In Bonk’s case, the fact that this retracement aligns with the 200-day moving average—an important dynamic level of trend support—further increases the weight of this area.
Key Technical Points:
- 0.618 Fibonacci Retracement: Price is testing the golden pocket, a critical bullish support zone.
- 200-Day Moving Average: Adds dynamic support, reinforcing the importance of this level.
- Bullish Market Structure: Correction remains within the context of higher highs and higher lows.
From a structural perspective, Bonk continues to trade within an overall bullish framework. Despite the pullback, the market has not violated its higher-time frame uptrend. The retest of key technical confluences signals that this is more likely a corrective pause rather than a breakdown. As long as price maintains daily closes above this cluster, the path of least resistance remains to the upside.
Volume behavior will be critical in confirming the next move. If demand continues to appear at current levels and volume inflows remain consistent, it would validate the support and strengthen the case for a rotation higher. A successful defense of this level increases the probability that Bonk will attempt to reclaim prior highs and extend the bullish cycle.
What makes this setup notable is the combination of structural integrity and technical confluence. Few zones carry as much weight as the golden pocket aligned with the 200-day MA, and when respected, these areas often precede strong bullish rotations.
What to Expect in the Coming Price Action
If Bonk sustains above the 0.618 Fibonacci retracement and the 200-day moving average, a reversal is likely to unfold. Such a move would allow price action to rotate back toward the previous highs, continuing the broader bullish trend. The corrective phase should therefore be viewed as a potential launchpad rather than a breakdown, with strong confluences favoring a full recovery in the sessions ahead.