Bonk Inu (BONK) Jumps 790% Since Launch, Helps Buoy Solana (SOL) Prices

NEW DELHI (CoinChapter.com) — Solana-based Dogecoin rival, Bonk Inu (BONK) price rose nearly 790% to reach $0.000001036 on Jan 3 since launching on Dec 30. The uptrend was likely a result of the interest generated by the token’s airdrop.

The Bonk Inu airdrop would amount to 50% of total supply of nearly 1 Quintillion tokens (99,867,657,417,668 BONK). Scant details are available on the token, with no link to the project’s whitepaper on Bonk’s threadbare website.

Despite this, investor interest in the project has snowballed.

Per Bonk Inu’s announcement, 20% of the total airdrop supply would go to Solana NFT collections, comprising about 297,000 individual NFTs, and 10% to Solana-focused artists and collectors.

Of the remaining, 15% would go to early open-book traders, and Bonk Inu has reserved the remaining 5% of the airdrop for Solana developers.

Bonk’s tokenomics has reserved 20% of its tokens for early contributors. Moreover, 5% of the tokens are for marketing, team development, and initial liquidity. Finally, 15% of BONK tokens would go to the Bonk DAO.

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Bonk Inu enjoyed $23.1 million in on-chain volumes over the past 24 hours. Moreover, BONK coin users have made nearly 1.028 million transactions since the coin’s inception.

Meanwhile, Solana’s in-house token, SOL, enjoyed the interest Bonk coin generated as SOL price spiked nearly 41.6% since Jan 2 to reach a daily high of $13.86 on Jan 3.

SOL Price Reaches New Multi-Week High

SOL price registered minuscule gains since Dec 30, but the gains accelerated into high gear on Jan 2. The Solana token closed on Jan 2 with nearly 13% gains before spiking more than 26% to form a daily high at $13.86 on Jan 3.

However, long upper wicks on both day’s candles indicate that bears are selling aggressively to defend the 50-day EMA (purple wave) dynamic resistance. If the bears manage to stop the uptrend, SOL price might drop to test support from its 20-day EMA (red wave) near $11.5.

Moreover, if SOL price breaches below the EMA support, the Solana token might drop to $9.77 before recovering. SOL has been one of the most affected tokens from the fallout of the FTX implosion, with Solana shedding more than 90% of its value in 2022.

Conversely, if the uptrend continues, SOL price might challenge resistance from its 50-day EMA (purple wave) near $14.2. A break and hold above immediate resistance might help SOL price rise to $16.5 before downside corrections pare gains.

Meanwhile, the RSI for SOL remained neutral, clocking 57.32 on the daily chart.