Bonk Drops 30% Despite Massive Token Burn: What Is Going On?

Despite massive token burns, Bonk BONK/USD is down 30% over the past week.

Trader Notes: Crypto trader Nebraskangooner notes that Bonk's chart forming a "squiggly line" pattern, while analyst Ali Martinez sees a buy signal on the daily chart, signaling a potential price recovery.

Prominent trader Unipcs remains bullish, calling the current shakeout a filter for weak hands before the next rally.

He points out that Bonk has seen deep corrections before hitting new highs and stated that despite the sell-off, his unrealized profit on Bonk remains at $7 million, reinforcing his belief in the meme coin's long-term potential.

Bonk is still in its early stages of becoming the top meme coin of this cycle, he added.

Statistics: Coinglass data shows open interest dropping to its lowest levels, $9.91 million, since October 2024.

Community News: Bonk's team officially announced the burning of 2.03 trillion BONK in celebration of the BONKdragon event and Lunar New Year. This strategic burn is expected to create scarcity, potentially boosting the token's value.

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