- Bearish sentiment around BONE has increased in recent days.
- SHIB’s value has also fallen along with BONE over the past 24 hours.
Bone ShibaSwap [BONE] witnessed a massive price correction in the last 24 hours, which can be attributed to the ongoing market conditions. While that was happening, the token’s metric highlighted a bullish signal. Does this mean a trend reversal for BONE?
The state of BONE in the bear market
According to CoinMarketCap, BONE is down more than 10% in the last 24 hours. At the time of writing, the meme coin was trading at $1.18 with a market cap of over $270 million.
LUCIE, a popular X-handle that posts updates related to the Shiba Inu ecosystem, revealed that BONE had a technical score above 84. This meant there was a good chance the meme coin would gain bullish momentum.
So AMBCrypto checked BONE’s on-chain data to find out what to expect from the token. We found that BONE’s social volume peaked a few days ago, reflecting its popularity.
However, the weighted sentiment remained in the negative zone, meaning that the bearish sentiment surrounding the meme coin was dominant in the market.
Source: Santiment
Is a trend reversal possible?
Our analysis of the meme coin’s daily chart showed that the price reached the upper limit of the Bollinger Bands. When that happens, it indicates that selling pressure on an asset may increase, resulting in a price drop.
The possibility of an increase in selling pressure was further evidenced by the Relative Strength Index (RSI), which was in the overbought zone.
Source: TradingView
While the aforementioned indicators looked bearish, some of the on-chain metrics continued to support buyers. For example, the MVRV ratio has increased in recent days. Network growth was also high, meaning more new addresses were created to transfer the token.
Additionally, the total number of holders of the meme coin has also increased slightly over the past week. This meant that buying pressure increased, which could help boost the price of the meme coin in the coming days.
Source: Santiment
Read ShibaSwap’s bot [BONE] Price prediction 2024-25
Shiba Inu is also red
As BONE’s value fell, the network’s flagship declined, Shiba Inu [SHIB], also followed a similar trend. According to CoinMarketCapSHIB has fallen by more than 1.4% in the past 24 hours.
At the time of writing, SHIB was trading at $0.00003821 with a market cap of over $22.5 billion. Market sentiment around the meme coin also remained bearish, evident from the drop in weighted sentiment.
Source: Santiment