Small Backtest And a Few Price Development Scenarios FLOKI/USDTFloki to me is a combination of speculation and project on a fundamental basis. I've owned Floki for a long time. If you have to believe Social Media, every Memecoin is worth gold. Never buy any coin without analysis. A YouTuber promoting a coin is not an analysis. Now that Floki is finally showing some data on Tradingview, it's time for an analysis
Fundamental and general analysis
After last month's rally, Floki is consolidating. This is a good sign for me to generate a zone of liquidity for the future.
I focus more on a rising price over the longer term, because:
-Crypto, in general, shows a rising price (bullish)
-The team behind Floki is working on a mega marketing campaign around the world. In December it's America's turn
-Big names (Tyson Fury) promote FLOKI
I also think it's important to also look at the critical side:
- Manipulation is common with relatively low market cap coins. (currently around 2-3Billion)
- The project is largely based on a meme which also increases the volatility.
- If cryptos like Bitcoin and Ethereum fall in price, it often correlates to other currencies. The project can have so much potential but still drops in price (temporarily).
Technical analysis
- Currently, Floki is consolidating between 0.00022 - 0.00029. Wait for an outbreak and more confirmations (retest, fib levels, price action) before going long or short.
- If the price breaks through resistance from support it's probably manipulation. keep an eye on the larger timeframes (preferably the daily). 0.00032-0.00036 is an area where you can expect resistance. (.61-.81 Fibonacci level)
- Conversely, panic can be caused by the price breaking through the support. I'm keeping an eye on 0.000125 - 0.000160 to buy at a potential discountarea. Again, other confirmations are important here
- In the most positive scenario, I have 0.0005 - 0.0006 zone in mind as the next price target to take partial profits (50% increase since last high.)
Important
- So at the moment I am neutral on price expectations and waiting for new data to go long or short
- Always do your own analysis and don't risk more than you can lose. My opinion of Floki is not financial advice
