Bonk BONK/USD surged an astonishing 62% on the day amid indications of an imminent token burn and significant whale movements, prompting traders to anticipate more upside.
What Happened: Bonk's weekly gains tally at 104%, with the token fast approaching its December 2023 all-time high.
Trading volumes surged by 99%, propelling the token's market capitalization to $1.5 billion and leapfrogging Pepe PEPE/USD in the process. Coinglass data showed a notable 116.6% increase in open interest at $11.9 million.
On Feb. 27, BonkBot announced via X that it had burned a total of 696.9 million Bonk tokens, equivalent to $8,317, within the past 24 hours. This brings the total amount of Bonk tokens burned to 163.8 billion, valued at $1.96 million at current prices.
Lookonchain data revealed a whale acquired 98 billion Bonk tokens, worth $1.54 million, from the cryptocurrency exchange Binance just before the price surge. The whale now holds a total of 319.4 billion Bonk tokens, valued at $7 million, with total profits reaching $2.9 million.
BonkBot, Solana’s fastest Telegram trading bot, issued a warning to investors to secure their Bonk holdings, stating “BONKbot is coming to burn it all.”
Why It Matters: Bonk describes itself as "for the people, by the people."
The cryptocurrency distributed 50% of its total supply through an airdrop to the Solana community upon launching on Dec. 25, 2022. Its primary goal was to revive liquidity within Solana-based decentralized exchanges.
Caleb Franzen, an independent researcher and founder of Cubic Analytics, shared his perspective on X, said he was looking to manage his risk on the breakout.
Cryptocurrency trader Altcoin Sherpa expects a pullback before peaking to higher levels:
$BONK was 1 I liked bc it was lagging behind other memes and the chart itself looked pretty solid. Wouldn't be surprised to see it gun for those highs in the wick before some pullback. Watching some of the earlier leaders of the run too though like PEPE/WIF pic.twitter.com/V2twkUD92x
— Altcoin Sherpa (@AltcoinSherpa) February 29, 2024
Bonk's dog-themed rivals Dogecoin DOGE/USD and Shiba Inu SHIB/USD have also seen significant gains in recent days, as have its smaller competitors Dogwifhat WIF/USD and Floki Inu FLOKI/USD.
While meme coins experience rapid rallies, it is worth noting that corrections can be equally swift.
Read Next: Doge And Shiba Inu Flat; BONK, WIF, And Myro Down; TRUMP Surges: Benzinga's Memecoin Mashup
Photo: Shutterstock
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