Floki price rises as exchange reserves tumbles, social dominance surges

Floki price has rebounded in the past few days, reaching its highest level in almost a month as its social sentiment score improved and exchange reserves dipped.

Floki (FLOKI), one of the biggest meme coins in the cryptocurrency industry, rose to a high of $0.000089, up by over 45% from its lowest level in June. The rebound happened in a high-volume environment, with its 24-hour volume jumping by 83% to $211 million.

The Floki token’s jump coincided with a big increase in its social volume. Santiment data shows that the volume jumped to 21, the highest level since June 5. Similarly, the chart shows that the social dominance score skyrocketed to 0.293%, the highest level since March 25.

A surge in social dominance and volume is a bullish catalyst because it signals more interest among retail traders. This, in turn, may stimulate fear of missing out, or FOMO.

Floki social dominance and social volume | Source: Santiment

Floki’s price also jumped as the volume of exchange balances continued its downward trend, reaching the lowest level since August last year. There were 1.93 trillion tokens in exchanges, down from 2.18 trillion in November last year. Falling exchange balances is a sign that investors are no longer dumping their holdings.

Floki exchange balances | Source: Nansen

Meanwhile, the top 100 addresses have continued accumulating Floki, a sign that they expect the price to continue rising. These holders have boosted their positions by 16% in the last 12 months to 8.93 trillion tokens.

Floki’s rebound also mirrored the performance of other top meme coins that rallied. Bonk (BONK) rallied by 59% in the last seven days, while Useless Coin has soared by 40% in the same period.

Floki price technical analysis

Floki price chart | Source: crypto.news

The daily chart shows that the Floki token has rebounded in the past few months, moving from a low of $0.00004570 to $0.000080. It has moved above the 50-day Exponential Moving Average, while the Relative Strength Index and the MACD have all pointed upwards.

Floki’s price has formed a symmetrical triangle pattern, with the two trendlines nearing their confluence level, which may lead to a breakout. The next point to watch will be $0.00010, the upper side of the triangle. A move above that level will point to more upside, potentially to $0.0001230, its highest point in March.