BONK (BONK) Gains 21% in 24 Hours – Should Traders Prep for Another Rally Now?

After bleeding for most of the week, Bonk's [BONK] price posted gains of 15% as the weekend began. At press time, BONK was valued at...

, one of the market’s more popular memecoins, has been on a roll recently. At press time, it had surged by an impressive 21% in the last 24 hours to trade at $0.00003148 on the charts. This price action is significant, especially since it sets the stage for a potential bullish run towards a key resistance level.

AMBCrypto’s analysis of BONK’s Open Interest data from Coinglass revealed a significant spike in OI, alongside the price surge. Here, a surge in open interest signifies growing market participation and could be a sign of a continued bullish rally.

A positive correlation between price and open interest usually implies a strengthened market trend. In this particular case, it is a favorable indicator of further price hikes.

To add to the aforementioned spike in open interest, AMBCity’s further analysis of Coinglass liquidity data revealed a concentration of liquidations at lower price levels. This indicates that short positions are being kicked out of the market, potentially fueling BONK’s price movement further upwards.

suggesting that traders might want to keep an eye on the memecoin’s price movements.

Kelvin Murithi is a freelancer cryptocurrency price analyst working with AMBCrypto.

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