A popular pseudonymous crypto strategist, Altcoin Sherpa, has shared insights with his over 200K followers on social media platform X (formerly known as Twitter), indicating a bearish trend for Bonk (BONK), a Solana-powered Dogecoin rival. The analyst predicts a ‘dead cat bounce’ for Bonk, a term in finance that refers to a temporary, minor recovery in the price of a declining asset.
Altcoin Sherpa anticipates that Bonk will experience a short-term recovery, which he describes as a dead cat bounce. He suggests that this temporary rise will be followed by a further decline. Specifically, he predicts that Bonk’s price will dip below $0.00000989, bounce to around $0.0000170, and then fall back below the $0.00000989 level.
The analyst also believes that other Solana-based meme coins will mirror Bonk’s trend. He advises that the anticipated mini-run of these coins could be an opportune moment for investors to exit their positions. He maintains that while Bonk may have another strong run, it will require more time for accumulation and base-building.
Despite the short-term bearish outlook, Altcoin Sherpa is optimistic about Bonk’s potential in the longer term. He believes that Bonk and other Solana meme coins will likely experience a significant bullish reversal next year. However, he cautions that these coins will need time to cool off and attract attention again.
At the time of writing, BONK is trading at $0.0000139, marking an impressive gain of over 230% in the past 30 days. This recent performance highlights the volatile nature of meme coins and their susceptibility to rapid price changes.
In addition to his analysis of Bonk, Altcoin Sherpa has weighed in on Ethereum (ETH), predicting that it will soon cross the key $3,000 level. Ethereum is currently trading at $2,368, experiencing a slight decline of 0.37% in the last 24 hours.
Featured Image via Bonk
