Floki’s Price Rise Depends on Bitcoin and an Important Group of Investors

Floki’s price is recovering from the recent drawdown, but this recovery depends on two major factors.

The first is Bitcoin’s trajectory, and the second is the activity of the biggest holders, i.e., whale addresses.

Floki Finds Support

Floki’s price is bound for recovery, but how strong the rise would be is the question. Since the meme coin is backed by whales aiming for the same thing, the possibility of a quick recovery is high.

The increased activity among whale addresses is evidenced by a significant spike in transaction volume. Recently, the volume of transactions worth more than $100,000 surged to $63 million, marking a notable rise compared to previous levels.

This uptick is particularly striking given that the average transaction volume of these large investors has historically been around $5 million. The substantial increase underscores the growing interest and movement within the FLOKI network.

FLOKI Large Transaction Volume. Source: IntoTheBlock

This unexpected surge in transaction volume and whale activity could signal a turning point for FLOKI. As these large investors re-enter the market, their actions may drive further interest and investment in the meme coin.

Furthermore, FLOKI, is currently noting a high correlation of 0.84 with Bitcoin. This correlation suggests that Floki’s price movements are closely mirroring those of BTC. As a result, FLOKI is seen as having a strong potential for recovery, following the trend set by Bitcoin.

Read More: What Are Meme Coins?

FLOKI Correlation with Bitcoin. Source: IntoTheBlock

This relationship provides optimism for investors, as Bitcoin’s performance can serve as an indicator of FLOKI’s future trajectory.

FLOKI Price Prediction: Hitting the Highs

Floki’s price at $0.0001497 is attempting to recover from flipping the resistance at $0.0001856 into support. This is essential to the meme coin as that would enable a rise to $0.0002000 and recover the lost profits.

The chances of the meme coin not breaching past the barrier are also high given it has been rigorously tested as resistance recently.

Read More: 7 Hot Meme Coins and Altcoins that are Trending in 2024

Floki Price Analysis. Source: TradingView

A repeat of the events could lead to a drawdown again, sending FLOKI to $0.0001326. Losing this would invalidate the bullish thesis completely, extending the losses.

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