Meme Coin FLOKI Plunges - What's The Next Crypto To Watch?

This week didn’t start well for crypto. Most altcoins and meme coins are down in double-digits, and FLOKI is no exception.

However, there’s always hope for investors – we’ll analyze Rebel Satoshi’s RECQ as one of the best cryptos to buy now.

FLOKI Price Analysis – What’s Next?

The FLOKI price is down 10% today and now trading around $0.00018 with a market cap below $1.8 billion. 

Just earlier this month, FLOKI was trading around $0.00032 with a market cap over $3 billion – things changed quickly. This was a new all-time high for the popular meme coin.

On the FLOKI/USDT chart, we can see that ever since hitting that new ATH, FLOKI is trading in a descending channel, marked with blue parallel trend lines along the peaks and troughs of the downtrend. 

Source: TradingView

A descending channel is a bearish technical pattern that signals a loss of momentum for the bulls. 

This channel is particularly sharp on the FLOKI chart (as you can see above), indicating that the selling pressure has been intense and the bulls just didn’t have enough strength to stop the bleeding.

Technical indicators

The Relative Strength Index (RSI) is a momentum oscillator that measures the speed and change of price movements. 

An RSI reading below 30 is considered oversold, while above 70 is overbought. For FLOKI, the RSI is around 40, signaling that it is somewhat oversold but not extremely so – there could be more downside from here.

The Moving Average Convergence Divergence (MACD) is a trend-following momentum indicator that shows the relationship between two moving averages of prices. With the MACD line below the signal line, this is a bearish signal for FLOKI.

The 200-day simple moving average is considered a key long-term support/resistance level watched by traders. For FLOKI, the 200-day SMA is at around $0.00013, so FLOKI is still trading above that level for now – but a break below could open up further downside.

Floki Price Forecast

Crypto analyst Jelle noted to his 86k followers on X that FLOKI “ran into resistance and rejected, like most other altcoins did recently.” He thinks the current pullback could be setting up a bullish divergence pattern similar to the last bottom for FLOKI. 

However, he cautioned that FLOKI “needs to reclaim the 100-day exponential moving average” before expecting “a quick trip towards the highs again.”

Based on the technical indicators and analysis, FLOKI could continue ranging between the $0.00013 and $0.00032 levels in the near term as bulls and bears fight for control. 

A break above $0.00032 would be an encouraging sign, while a drop below $0.00013 could open up further downside risk.

Is RECQ one to watch?

During this market downturn, Rebel Satoshi’s RECQ aims to be one to look out for.

RECQ is a utility and transactional token within the Rebel Satoshi ecosystem. It supports all transactions and interactions within the vast Rebel Satoshi universe. This provides liquidity and facilitates everyday activities such as purchases, fees, and rewards. 

The token rewards engagement and encourages growth by distributing rewards, allowing access to arcade games, purchasing NFTs, in-game skins, equipment, merchandise, and paying fees.

The Rebel Satoshi Arcade is a central part of the ecosystem, offering a variety of games that incorporate RECQ. 

This post was authored by an external contributor and does not represent Benzinga’s opinions and has not been edited for content. This contains sponsored content and is for informational purposes only and not intended to be investing advice. Cryptocurrency is a volatile market; do your independent research and only invest what you can afford to lose. New token launches and small market capitalization coins are inherently more risky than large cap cryptocurrencies. These tokens are subject to larger liquidity and market risks.