Earlier today, Binance announced the listing of Solana-based meme coin Ponke (PONKE) on its eventually market, causing its price to rise by 12% in just a few minutes. However, the rise was short-lived as PONKE price quickly retraced all of these gains..
Here’s a look at how it all happened and what could be next for the meme coin’s value.
Ponke sees record volume and bearish sentiment
Binance I listed the part itself Ponke at 12:30 UTC today, pairing it with USDT in a perpetual contract. Created in 2023, Ponke is a monkey-themed coin that initially gained traction among coin enthusiasts before being eclipsed by the rise of tokens like dog hat (WIF) And Bonk (BONK).
Despite losing momentum after being outperformed by its peers, Ponke’s listing on Binance reignited interest, driving its price up from $0.44 to $0.51. However, the gains were short-lived, as the enthusiasm over the listing quickly turned into a classic “sell the news” type event, leading to a complete reversal of the previous price rally.
Still, PONKE volume reached an all-time high of $88.57 million. This surge implies that the listing leads to higher interest in the meme coin. But in this case, the increase in volume alongside the drop in price is bearish, suggesting that the metric is reinforcing the downtrend.
Learn more: What are Meme Coins?
If it holds, the price of PONKE could continue to fall. The weighted sentiment around the meme coin is another factor suggesting an accelerated pullback.
This metric gauges the broader market perception of a cryptocurrency. When positive, the average comment is bullish. But a negative reading indicates otherwise.
According to Santiment, the Ponke Binance listing initially raised the weighted sentiment to a very high level. However, at the time of writing, it has fallen into the negative region, suggesting that pessimistic remarks plagued the cryptocurrency soon after. This also indicates a drop in demand, which could cause the price of PONKE to fall even further.
PONKE Price Forecast: The decline could continue
A look at the 4-hour chart shows that the Moving Average Convergence Divergence (MACD) has fallen into the negative region. The MACD is a technical oscillator that measures the relationship between two moving averages to spot trends.
When the indicator reading is positive, the momentum is bullish and the price may increase. But in this case, the negative rating suggests bearish momentum around PONKE. The value could therefore fall.
Learn more: How to Buy Solana Meme Coin: A Step-by-Step Guide
While PONKE is trading at $0.432, this current condition indicates that the meme coin’s value could slide to $0.36. However, if market participants buy the dip, this forecast could be invalidated and PONKE could rally to the highest point of the wick at $0.62.
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