Floki Sees $12M Investment From DWF Labs: 'Price Discovery Again Soon,' Forecasts Trader

With a 40% price surge in the past month, Floki FLOKI/USD has attracted the interest of traders and investment firms alike.

What Happened: Digital asset market maker and multi-stage Web3 investment firm DWF Labs announced a substantial commitment to purchase $12 million in FLOKI tokens. The tokens will be acquired in part from the market and in part from the Floki treasury. The step comes as the Floki ecosystem gearing up for mainnet version of its flagship utility product, the Valhalla metaverse game, later this year.

It is also set to release several key utility products, including the Floki Trading Bot, the .floki Decentralized Domain Name and Website Service and more in the coming weeks and months.

In February 2024, DWF Labs announced plans to purchase $10 million in FLOKI tokens from the treasury over the next two years. In mid-May, DWF Labs reportedly withdrew 2 billion FLOKI from Binance. FLOKI has spiked 43% since.

Price Action: In the past 24 hours, FLOKI is down 5.2% to $0.0002655. It is up 40% month-over-month.

Also Read: Floki Up 11% And ‘The Most Interesting Meme Coin,’ Says Millionaire Trader Who Holds Only 1 Out Of Dogecoin And Shiba Inu

Why It Matters: Crypto analyst Jelle reacted to the DWF Labs investment by stating that the investment is leading to buying pressure on Floki "as it consolidates below all-time highs."

DWF Labs putting more buying pressure on $FLOKI as it consolidates below all-time highs.

Pretty sure this one enters price discovery again soon. 👀

Hold on tight and enjoy the ride, Vikings! (Sponsored) https://t.co/ER7EE2FjaJ pic.twitter.com/1FJiiuQ9QL

— Jelle (@CryptoJelleNL) June 4, 2024

Crypto trader Javon Marks noted that the meme coin recently saw a significant rise, climbing back above $0.000306, marking an 81% increase. He further suggested that Floki could be on the verge of breaking a crucial resistance level at $0.0002761498.

Marks emphasized that if Floki Inu manages to break and hold above this key level, it could potentially see another substantial rise, with prices possibly climbing nearly 100% to reach $0.00054673.

What’s Next: The influence of meme coins and Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

Read Next: Floki Soars As Holders Buoyed By Proposal to Remove 15.24B Tokens Out Of Circulation: The Burn Is Real

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