Key Takeaways
BONK jumped double digits in 24 hours after a breakout and USD1 launch buzz. Rising token burns could strengthen its lead if looming rate cuts fuel a crypto rally.
Bonk [BONK] was among the leading memecoins by daily price gains, which stood at 11% when writing. Only Fartcoin [FARTCOIN] and SPX6900 [SPX] performed better than BONK during this period.
The rally came after BONK broke out of a two-month consolidation. The Falling Wedge pattern began after its 17th of July high at $0.00004041.
BONK’s momentum shifts bullish
At press time, BONK traded above the SuperTrend after flipping from its $0.00001913 low on the 5th of September. An inverted head-and-shoulders confirmed the reversal.
Additionally, the MACD also turned positive, showing buying momentum.
Source: TradingView
The memecoin was advancing toward the top of its chart pattern, with the target sitting 96% above the initial breakout level.
From its current position, a further 72% upside remained. However, buying into this pump looked risky. Price often retraces after such sharp moves.
The price action could also revisit the breakout level for a retest. Its ability to rally rested on staying above the pattern.
BONK token transfers spike
The number of token transfers spiked to 625 billion BONK for outgoing and incoming upon the price breakout. Top 100 Addresses increased holdings by 0.64%.
Meanwhile, the Exchange Supply dropped to 57.45 trillion BONK, which was about 0.54%. The exchanges held about 65% of the total supply.
Source: Nansen
Even so, the Distribution Score stood at 14, at press time showing centralization but slight improvement. The Top 100 controlled 44% of the supply.
USD1 launches as rate cuts near
Meanwhile, World Liberty Finance [WLFI] unveiled its stablecoin USD1 on BONK’s launchpad for the Solana [SOL] blockchain. Ecosystem revenue from the launch would be used to burn BONK.
The news also drew attention from the crypto community, especially as the Trump family’s digital asset ventures continue to gain momentum.
With the Federal Reserve set to announce interest rate decisions next week, Jerome Powell’s recent hints have fueled speculation of a potential market shift.
If the broader crypto market responds positively, BONK appears well-positioned to emerge as one of the leading memecoins in the next breakout phase.
