Floki Inu price has been on a free-fall since November 13 shedding approximately 50% towards the range low at $0.0001343 The appearance of an engulfing bullish candle on Thursday saw FLOKI start a V-shaped recovery targeting areas beyond $0.0002613.
Floki Inu Price V-Shaped Recovery Aims For $0.0002613
FLOKI price formed a V-shaped chart pattern on the Four-hour chart, indicating a sharp recovery. A V-shaped pattern is created when an asset falls significantly and then makes a sustained upswing. For example, Floki INu price currently hovers around $0.0002050 as bulls target highs beyond $0.0002638 representing approximately 28% rise.
If this pattern holds, it is expected that FLOKI will rise sharpy before running into significant resistance at $0.000211 and the 50 SMA currently at $0.0002155.
The bullish narrative has been reinforced by a buy signal from the Moving Average Convergence Divergence (MACD) indicator. This occurred when the 12-day Exponential Moving Average (EMA) crossed above the 26-day EMA earlier today. Note that the bullish momentum will gain more traction as soon as the MACD crosses the zero line into the positive region.
FLOKI/USDT Four-Hour Chart
The strength of the bullish momentum has been illustrated by the Relative Strength Index’s (RSI) sharp rise away from the oversold areas. A break above the midline has initiated more buy orders that are expected to propel Floki Inu price towards the target of the prevailing chart pattern before overbought conditions come into play.
Therefore, closing the day above the significant hurdles at $0.000211 and the 50 SMA currently at $0.0002155 is crucial to pushing the FLOKI price higher.
Looking Over the Fence
On the flipside, a daily closure below the $0.000211 and the 50-day SMA levels may trigger another downswing. If this happens, Floki Inu price could re-test the support at $0.000177 and the range low at 0.0001343.