Bonk price is holding at a critical support region, with price action attempting to establish a double-bottom reversal. Reclaiming the point of control could trigger a bullish rally of more than 100%.
Summary
- Daily support aligns with the point of control, forming a pivotal reversal zone.
- Bollinger Bands indicate oversold conditions, favoring a bounce.
- Breakout above POC could activate double bottom and target 100%+ gains.
After a prolonged corrective phase, Bonk (BONK) is testing a key support zone that aligns with major technical confluences. Price action is showing signs of forming a potential double-bottom reversal pattern, a structure that could restore bullish momentum.
Bonk could see a rebound as large holders accumulate 80 billion tokens, adding further weight to the bullish setup. The structure is reinforced by both volume-profile dynamics and oversold signals from the Bollinger Bands, giving bulls a chance to reclaim higher levels if momentum builds.
Bonk price key technical points
- Daily support aligning with the point of control.
- Confluence with Bollinger Bands’ lower band highlights oversold conditions.
- Double bottom activation requires a reclaim of the point of control on a closing basis.
Bonk’s current trading behavior highlights the importance of its ongoing battle at daily support. Price has respected this level over several sessions, suggesting that buyers are stepping in to defend it. This support lies just below the point of control (POC), a major volume node that now acts as immediate resistance. For the double-bottom reversal pattern to activate, a closing reclaim of the POC is essential.
The technical setup becomes even more compelling when factoring in the Bollinger Bands. The lower band is extended and now overlapping with daily support, reinforcing the probability of oversold conditions. Historically, such conditions have preceded strong reversals, especially when combined with classical charting patterns like the double bottom.
A rotation toward the next daily resistance, positioned below the previous swing high, could result in a substantial upside move. Analysts note that a breakout here may yield gains exceeding 100%, provided the reversal structure is confirmed. This aligns with the broader principle that double-bottom formations often mark significant trend shifts, particularly when accompanied by a surge in volume.
The role of volume cannot be overstated. For the reversal to carry weight, bullish volume nodes must support the move. Without meaningful inflows, attempts to reclaim the POC may fail, leaving Bonk vulnerable to extended consolidation or deeper downside. However, the emergence of buying interest at current levels provides early signs that bulls are preparing for another push.
Adding to this, Safety Shot has established Bonk Holdings as part of its strategy to expand and manage its treasury, further reinforcing confidence in the token’s long-term positioning.
What to expect in the coming price action
If Bonk successfully reclaims the POC on a closing basis, the double-bottom formation will be activated, signaling the potential for a major bullish rally. This could drive price toward daily resistance and beyond, establishing a broader recovery.
Failure to reclaim the POC, however, would keep the reversal incomplete and risk prolonging the corrective phase.