BONK rose 60% in a week, and the Solana ecosystem memecoins are collectively warming up.

Source: Cointelegraph Original: "BONK Surges 60% in a Week, Solana Ecosystem Meme Coins Rebound Collectively"

Main Summary:

Bonk (BONK) is the second-largest meme coin based on Solana by market capitalization, expected to continue the recovery trend that began on April 22. Since hitting a low of about $0.00001247 on April 22, BONK has surged approximately 73%, reaching an intraday high of $0.00002167 on April 28.

Data from Cointelegraph Markets Pro and TradingView shows that BONK's trading price is $0.00001923, up 3% in the past 24 hours and up 60% in the past seven days.

BONK/USD daily chart Source: Cointelegraph/TradingView

The trading volume of BONK surged by 98% in the past 24 hours, reaching $478 million, and its market capitalization also increased, briefly touching $1.7 billion on April 28 before falling back to the current level of $1.5 billion.

Let's discuss the factors that drove the rise in BONK prices over the past week.

Meme coins are fully recovering

The rebound of BONK over the past seven days reflects the bullish price trend of the entire cryptocurrency market, including the meme coin sector. In the past week, most meme coins have achieved double-digit gains. The leading meme coins DOGE and Shiba Inu (SHIB) have increased by 3% and 5% respectively over the past seven days.

The meme coin Official Trump (TRUMP), related to former U.S. President Donald Trump, saw a weekly increase of 73%, while Base's Brett (BRETT) rose by 83% during the same period.

Performance of High Market Cap Meme Coins Source: CoinMarketCap

This widespread rebound has pushed the total market value of meme coins to $55.51 billion, a 17.5% increase over the past week according to CoinMarketCap.

Meme coin market value and trading volume Source: CoinMarketCap

In just the past seven days, the trading volume of meme coins has exceeded $7.96 billion, with a week-on-week increase of 85%. This recovery is driven by investors once again favoring risk assets such as meme coins.

The increase in open contracts supports the rebound of BONK.

The surge in BONK prices over the past seven days occurred after a significant increase in its open interest (OI).

The total open interest (OI) of BONK across all exchanges surged from $11 million on April 22 to $43.2 million on April 26, an increase of 290%. Although this metric has dropped to $28 million as of the time of writing, it remains significantly higher than the OI levels since December 2024.

The increase in open contracts reflects an increase in traders' participation in BONK futures, indicating enhanced speculative activity.

All exchanges' BONK open contracts. Source: CoinGlass

CoinGlass data shows that demand for leveraged long positions on BONK has been increasing over the past few days, as evidenced by the OI-weighted futures funding rate.

BONK average perpetual contract 8-hour funding rate Source: CoinGlass

The rise in funding rates usually indicates that futures traders are bullish, expecting prices to rise in the future, which may signal the continuation of an upward trend.

BONK's social dominance remains high, indicating active social engagement. According to Santiment, driven by the ecosystem's popularity, BONK's social dominance soared from 0.091% to 0.572% between April 20 and April 26.

BONK social dominance and trading volume Source: Santiment

The surge in discussions on social media platforms reflects the rising interest from retail and institutional investors, amplifying the fear of missing out (FOMO) and driving demand.

BONK breaks through months of downward trend

On April 13, the price of BONK broke through the descending parallel channel, demonstrating strength and turning the 50-day and 100-day Exponential Moving Averages (EMA) into support.

In the short term, bulls may continue to rebound and move towards the important resistance level of $0.00002410 (200-day SMA). If the daily closing price is above this level with high trading volume, BONK could rise to nearly $0.000040, the peak of the range from January 19. This would be an increase of 104% from the current price.

BONK/USD daily chart Source: Cointelegraph/TradingView

The sharp rise of the Relative Strength Index and its position at 71 in the overbought region reinforces the dominant position of buyers in the market.

However, overbought conditions may prompt profit-taking, leading to a slight pullback in BONK before continuing its upward trend.

"The downtrend line of $BONK has been broken," renowned analyst World of Charts posted on X on April 28, "and it is expected to double in the coming days."

Meanwhile, Crypto Joe discovered that BONK broke out of a bullish flag pattern in the 30-minute timeframe, with a target price of $0.00002690.

Source: Crypto Joe

This article does not contain investment advice or recommendations. Every investment and trade involves risks, and readers should conduct their own research before making decisions.

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