Bonk (BONK) price prediction: After rising over 52% in the past week, can it maintain its momentum?

The Meme coin Bonk (BONK) on the Solana Blockchain has recently performed remarkably, with a rise of up to 52.1% over the past week, making it one of the best-performing tokens among the top 100 Crypto Assets. Additionally, BONK has risen 52.5% over the past two weeks and 38.4% over the past month. However, despite this, the daily chart shows a slight pullback of 4.9% for BONK recently, and it has still fallen 17.5% since July, indicating a certain level of Fluctuation in the market.

Gate market shows that BONK is currently priced at 0.000021967 USD, with a 24-hour rise of 1.32%.

BONK rise behind the reason

The recent rise of BONK is mainly driven by the following factors:

1. ETF Rumors: There are rumors that Tuttle Capital may apply for a 2x leveraged ETF to track the BONK Token. If this news becomes a reality, it could attract a significant amount of institutional capital. Although there are currently no official application documents, the mere rumors have already drawn considerable attention from investors.
2. Token Burn Plan: The BONK project is approaching the milestone of 1 million holders. Once this goal is reached, it will trigger the burn of 1 trillion BONK tokens, further reducing the supply, which is expected to drive up prices and enhance bullish sentiment.
3. Market Sentiment Related to Solana: BONK may also benefit from the optimistic sentiment surrounding the potential listing of the Solana ETF, which is currently under review by the U.S. Securities and Exchange Commission (SEC). Projects related to Solana (SOL), such as BONK, may benefit from this widespread market optimism.

Possible market cooling: beware of pullback risks

Although BONK’s current trend is relatively strong, a pullback may occur after the current speculative factors recede. The overall rise of the Crypto Assets market seems to be driven by institutional funds flowing into ETFs, while retail investor participation remains low. If the burning plan for BONK or the hype around ETF rumors cools down, or if large holders begin to take profits, BONK may face a significant price retracement.

The impact of macroeconomic factors

Compared to the ETF inflows of Bitcoin and Ethereum, BONK remains a high-risk asset. Its future trends may be influenced by macroeconomic decisions, such as the interest rate policies of the U.S. Federal Reserve. Although these policies have not yet changed, they may have a profound impact on BONK and similar assets in the future.

Summary

Although Bonk (BONK) has experienced a rise in the short term due to rumors and project updates, its future price trend remains uncertain. Investors should be wary of pullbacks that may be caused by speculative market sentiment.