BONK/USDT Analysis

The price of BONKUSDT saw a sharp rise between December 18 and 19, 2023, from 0.00001835 USDT to 0.00002177 USDT, an increase of 186%.

This rise was accompanied by very high trading volume, suggesting strong buyer demand for this pair.

The price then saw a downward correction, forming a 76.4% Fibonacci retracement, which corresponds to a key support level.

The price bounced off this support level and formed a bullish candlestick pattern called an inverted hammer, which indicates a possible upward trend reversal.

The price then broke above the 20-period moving average, which acts as dynamic resistance, and reached a new high at 0.00002058 USDT on December 20, 2023.

The price then formed a bearish candlestick pattern called a bearish engulf, which indicates a possible downtrend reversal.

The price then broke support at 0.000019 USDT, which corresponds to the 20-period moving average, and fell as low as 0.00001822 USDT, forming a 50% Fibonacci retracement.

The price is currently struggling to climb above the support at 0.000019 USDT, which acts as dynamic resistance, and is located around 0.00001850 USDT.

My opinion is that BONKUSDT price is in a consolidation phase, after experiencing high volatility. The price could continue to oscillate between the 38.2% and 61.8% Fibonacci levels, which correspond to 0.00001971 USDT and 0.00001842 USDT, respectively. To confirm an uptrend, price should break the resistance at 0.00002058 USDT and form higher lows and highs. To confirm a downtrend, the price should break the support at 0.00001822 USDT and form lower lows and highs.

#BONKUSDT #USDT #BONK #1000BONK