Bonk Price Prediction as Open Interest Falls by $8 Million – Will BONK Recover?
BONK’s recent price decline has led to a significant drop in investor confidence, reflected in the asset’s Open Interest (OI). OI fell from $24 million to $16 million, slightly recovering to $17.27 million.
Despite a positive funding rate favoring long contracts, the sharp decrease in OI suggests bearish sentiment. This downturn in investor confidence could result in further price decreases if it persists.
Current price analysis places BONK at $0.00003323, with technical indicators pointing to potential key support and resistance levels.
BONK’s price decline is impacting investor confidence, evident in the asset’s Open Interest (OI). OI fell by $8 million, decreasing from $24 million to $16 million on Saturday.
However, it slightly recovered to $17.27 million on Sunday, reflecting a 0.09% increase.
Although the funding rate remains positive, indicating a dominance of long contracts, the significant drop in OI suggests a bearish sentiment for BONK.
This decline in OI could lead to further price decreases if investor confidence does not improve.
Key Points:
Open Interest (OI) refers to the total number of outstanding derivative contracts, such as futures or options, that have not been settled. It provides insight into an asset’s trading activity and liquidity.
A higher OI indicates more interest and participation in the market, while a lower OI suggests declining interest.
In the context of BONK, the recent drop in OI from $24 million to $16 million, despite a slight recovery to $17.27 million, indicates reduced investor confidence, which could negatively affect its price.
The price of BONK is currently $0.00003323 on the 4-hour chart. The pivot point, marked by the green line, stands at $0.00003536.
Immediate resistance levels
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