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Bonk is going Bonkers🤯
Traders are piling into meme coin - BONK, prices boosted by triple-digits. Is a trend reversal in Solana price underway? 🤔
Gm gm readers! 👋
This is Bits n Bytes, the only newsletter serving you web3 news and gyaan as good as piping hot chocolate on a winter morning.☕
Well, we’ve seen enough crypto rewinds of the year 2022 already, so I’ll spare you from seeing another SBF, CZ collage ft Elon, Do kwon and Doge.🤗
For those of you reading Bits n Bytes for the first time, here’s what we got for ya’ll👇
Here’s what’s on the menu today🍛:
Is Meme Coin Season Back?🤯
Story behind BONK token's meteoric price rise.📈
Is BONK another desperate attempt to bring back Solana’s lost luster?👀
Should You Buy BONK?🤑
Is Meme Coin Season Back?
One of the more notorious things in the cryptocurrency world are dog coins or meme coins.
We all remember DOGE🤓
It started as a joke in 2013, but is now the 12th most valuable cryptocurrency by market value, according to CoinMarketCap. The meme coin rose up some 6,000% in 2021 and had big fans in Elon Musk and Mark Cuban.
ICYMI: Meme coins, which are popular cryptocurrencies often inspired by internet jokes.🤭
With BONK entering the crypto winterland, is the meme season really back?
📌BONK has entered the race at a time when the cryptocurrency industry is experiencing low prices. This coin is now firmly cemented as the most prosperous meme coin to emerge from the ecosystem, and unlike its forebears, it resides on the Solana blockchain.
The BONK token has appreciated by more than 2,000% since its launch on the penultimate day of 2022.🤑
With the skyrocketing of BONK’s growth, anyone could believe that meme coin seaon is back, but that’s not the case.😬
The price of BONK is down -3.91% since last hour, up 8.21% since yesterday.😦
The largest meme coin in the market, Dogecoin is 🔻down 0.37% in the last 24 hours. While Shiba Inu which is ⬆️ up 0.11% in the same time period.
Similar gains across other coins would have occurred if BONK had sparked a resurgence of the meme coin bull market, but for the time being, the prices of these assets are still relatively stable.
Is this just another desperate attempt to bring back Solana’s lost luster?👀
Read on to find out all the sauce 🤓
All you need to know about BONK token's meteoric price rise.📈
👉BONK was introduced on December 25 and has just been around for 15 days.
The first Solana Dog Coin for the people, by the people, as the meme coin defines itself as, has a market capitalization of $105.1 million, making it the biggest meme coin in the Solana ecosystem.
The token has been making waves ever since it got listed on Dec 30 primarily due to excessive shilling on social media. This came from influencers with large followings and once the FOMO kicked in, the coin price skyrocketed.
Even now, it is still seeing a lot of interest with trading volume crossing $34.7 million in the last 24 hours.
While 50% of BONK tokens have already been airdropped to OpenBook traders, artists, collectors, developers and a collection of 40 Solana NFT projects, another 20% have been allocated to 22 individuals who contributed to launching the meme token.
With all the hype around the token, can it be the leading enabler of Solana’s return to DeFi supremacy?🤔
Well, to start Several Solana projects have now integrated Bonk tokens for use as payments for NFTs. As a result, Solana, which saw its price tumble 94% in December, is trading up 2.85% in the past 24 hours.
Well, it’s known that Solana had been volatile and struggling for a number of reasons, including the collapse of one of its prominent backers, FTX and has been has been undergoing major updates since severing ties with the Sam Bankman-Fried-promoted liquidity provider, Serum.
With a total token supply of 100 trillion BONK and having already airdropped over 50% of it to a number of early benefactors, this latest meme cryptocurrency seems like another desperate attempt to bring back Solana’s lost luster in the DeFi space.😬😬
Could BONK be the knight in shining armour for Solana?😲
📌The BONK whitepaper gives very little information about how it intends to accomplish and sustain the growth that it has projected, although boasting that it will be the key enabler of Solana's return to DeFi supremacy.
👉This means that there is nowhere for potential investors to see what the token is used for, or for what it wants to achieve.
📌Although the meme coin BONK cryptocurrency already has a large market cap, significant growth over the past week, and high yield returns for liquidity providers (as high as 999% APR), high yields do not always stay high and it’s possible that the meme coin may have peaked or be on the verge of doing so.
On the flipside, the chance exists that the coin's rally is not over yet. The same thing happened with other meme coins like SHIB and DOGE, which grew so rapidly that it was believed they had peaked yet kept rising.
📌People are also speculating pump and dump schemes, several SOL whales cashed out their holdings which made BONK’s market value slide down by 54% around Jan 5th. Despite the massive 54% decline in market value, BONK is still in the green since last week.
In a nutshell, BONK did show more than 100% day-over-day rise as the coin’s price kept surging soon after the launch, but the momentum has softened since.
And this goes without saying, meme coins and tokens are famously volatile and their surges can be short-lived.
Finally coming to what ya’ll have been waiting for 👀👀
Should You Buy BONK?🤑
The impouding question is, is now still a good time to invest? Are you late to the party?
⚠️DISCLAIMER⚠️ - none of this is Financial advice. Do your own research before shelling out that hard earned money. Look at the latest market trends, news, technical and fundamental analysis, and expert opinion before making any investment decision.
BONK is arguably the brightest sign that the Solana market has seen in the last two months😝
👉Airdrops on Twitter in relation to BONK brought Solana (SOL) back to double digits.
👉Solana (SOL) scored 35.5% weekly gains, while BONK fetched a whopping 4424%.
Honestly, BONK went on a rollercoaster this week. 😵💫
But, is it a good time to gather a fortune?🤔
Whether or not BONK drives a full recovery for SOL, the developers of BONK are revealing plans to give the memecoin more utility as it attempts to unseat other memecoins including Dogecoin (DOGE), SHIB, and Floki Inu (FLOKI).
The only thing that is certain at this time is that BONK will eventually reach a point where it can no longer maintain the buzz.
Investors should probably prepare for a fall trend similar to the one seen in DOGE and SHIB over the past year once this occurs.
Where Can the BONK Go Next?👀
What do the experts say?
Let’s do a roundup of the price history for BONK to get more perspective.👀
BONK first came onto the open market on 25th Dec. On 30 Dec, it opened at $0.0000001095 before it climbed to $0.0000001972 at the close of the year on 31 December.😱
The following day, news of the airdrop boosted the token’s price to a high of $0.0000009564 on 2 January 2023 before it dropped a zero and traded at a high of $0.000001263 on 3 January. January 5th saw an all time high price of $0.000004575.🧐
Soon after BONK team burned their token allocation, the price dropped significantly to around $0.000001484 on January 6th😧
📌Considering that BONK is trading for $0.000002 USD as of this writing, it looks like there are more positive price predictions than negative ones.
Investors will also note that Bonk is down 32.8% over the prior 24-hour period as of this writing.
Here's what th experts say👇
PricePrediction is next with an average price estimate of $0.00000248 for BONK by the end of 2023.
CryptoPredictions projected an average 2023 estimate of $0.000018142170352 for the crypto by the end of 2023.
WalletInvestor predicted a one-year price forecast of $0.000000167 for the meme token.
While Bonk is merely a meme token with at least some promise given the predictions, the increasing demand might make things better for Solana, who knows? 👀
For now we got our weekly crypto snacks to munch on 🤗
Well that’s a wrap for today! 😌
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