- Over the past day, Floki climbed 14%, reclaiming price levels last seen in early March.
- Floki whales turned highly active on both sides, although sell-side pressure clearly dominated.
Over the past day, Floki [FLOKI] experienced a strong upswing on its price charts, rising by 14% to hit its highest value in two months. In fact, FLOKI has reached a high of $0.000084 levels, last observed on the 3rd of March 2024.
On weekly charts, the memecoin is up by 44.27% while it has surged by 14.77% over the past 30 days. Also, volume surged by 104.98% reaching $213.5 million while the Open Interest rose by 28.3%, hitting $35 million.
FLOKI’s market cap, of course, mirrored the trend, hitting a two-month high of $792 million.
Having said that, the real question is—what fueled this sharp rally? According to AMBCrypto’s analysis, one factor driving the upsurge is rising whale activity.
Floki whale activity soars
According to IntoTheBlock data, FLOKI whales have returned to the market. As such, Whale Transactions have spiked by 185.7% to hit a 2-month high of 20 transactions.
Such a surge naturally hinted at aggressive network engagement, either via accumulation or profit-taking.
Source: IntoTheBlock
Looking at Large Holders Inflow, FLOKI whales have bought 61.22 billion tokens, reflecting strong buying activity.
While whales are buying, they are selling even much more. They sold 71.62 billion tokens over the past day.
Thus, net whale inflow flipped negative, landing at -10.4 billion tokens.
Source: IntoTheBlock
We can see this growing negative imbalance not only from whales but also in the spot market. Spot Netflow has remained positive over the past day, hitting a high of $2.1 million.
This signals to more inflows to exchanges than withdrawals.
Source: IntoTheBlock
Any impact on price charts?
While whales are active, it seems they are increasingly active on the sell side rather than the buy side. The trend is even more evident in the spot market, with more sellers than buyers.
This pattern suggested that investors, wary of sustainability, were locking in profits rather than betting on a continued surge.
In fact, the sharp upswing seemed largely speculative, rather than rooted in strong fundamentals. Therefore, the memecoin frenzy that has captured the market over the past week, is positively impacting FLOKI prices.
If the current market conditions persist, FLOKI will rise to $0.000090 and then attempt another leg up to $0.00010 before a correction.
The point is, the rally is unsustainable, and a correction is inevitable. If a retrace emerges here, we could see a drop to $0.000072.