FLOKI rose 6% weekly and recently surged higher after Elon Musk posted an AI-generated video of his Shiba Inu “Floki” sitting at a CEO desk, reigniting risk appetite for meme coins even as the broader crypto market fell 3%.
Within hours, FLOKI’s price rose by almost 30% and its 24-hour volume exploded by 780-817% to around $656-$662 million, pushing the token to an intraday high of almost $0.000088, its best level in almost two weeks.
Related reading: All it took was a tweet: FLOKI jumps 27% after Musk mentions it
Mentions on Dogecoin (DOGE) and Shiba Inu (SHIB) posted modest gains, but FLOKI led meme coins by a wide margin.
Breakout Case vs. Bull-Trap Warnings
Technicians say FLOKI retests a crucial demand band around $0.00008. A daily close and hold above $0.000075 keeps the breakout thesis alive towards $0.00009, with $0.00010 on the table if momentum and volumes continue.
Open interest rose 162% to about $37.5 million, and liquidations on the long side wiped out $275,000 of short positions during the squeeze. On Binance, negative funding indicates that crowded shorts are paying to stay positioned, providing fuel for further upside potential if the price moves higher.
Still, some analysts identify a bull trap risk. The RSI tipped to an overbought position (>70) during the peak, a zone that historically invites cooling; a quick reset to the 50-70 band would be a healthier springboard.
Liquidity ‘heatmaps’ show dense clusters both above and below the spot, implying two-way volatility as price chases orders before settling on a direction. If FLOKI fails to regain/hold $0.00009, technicians see a pullback to $0.000072, with a deeper bear case pointing to $0.00004 if risk aversion returns.
FLOKI's price records some losses after a small push upwards on the daily chart. Source: FLOKIUSD on Tradingview
Key FLOKI levels as the market falls 3%
Currently, FLOKI is hovering around $0.0000737, down 12% on the day, reflecting the broader trend. market downturnwith Bitcoin around $107,000 and Ethereum around $3,800.
In the short term, traders are keeping an eye on key technical levels that could determine FLOKI’s next move. Immediate support is between $0.000072 and $0.000070, with deeper downside risk towards $0.00004 if momentum does not hold.
Related reading: Moreno Eyes Bitcoin from CryptoQuant for $195,000 if this happens
The $0.000080 level acts as the crucial pivot point; a decisive close above would strengthen the bullish trend and open the way to higher targets. On the upside, resistance is at $0.00009, followed by $0.00011 as buying volume increases.
With liquidity tight and sentiment still fragile following recent liquidations, celebrity-induced spikes can quickly become too much. However, if flows remain constructive, negative financing persists, open interest remains high, and spot demand confirms, FLOKI’s rally could reignite and potentially cross the $0.00009 psychological level.
Cover image of ChatGPT, FLOKIUSD chart from Tradingview