The Floki token fell sharply on Friday, August 30, becoming the worst-performing meme coin in the industry.
Floki (FLOKI), the sixth-largest meme coin, fell over 20% and hit a low of $0.00012, its lowest point since August 21. It is down over 23% from its high this week and 64% from its high this year.
Other meme coins like Bonk (BONK), Popcat (POPCAT), and Mog Coin (MOG) fell by more than 10% on August 21.
The main catalyst for the Floki sell-off was the movement of 15.2 billion tokens worth $2.27 million from a dormant account to Binance. These movements to exchanges are usually followed by intense selling activity, which can lead to losses for other holders who will join the selling frenzy.
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Data from ai/en/token?name=FLOKI” target=”_blank” rel=””>Chain of stitches shows that more large holders continued to move their Floki tokens. Another large holder transferred tokens worth $629,000 to MEXC on Friday.
More data shows that net outflows of Floki from both centralized and decentralized exchanges continued this week. Net outflows from CEX exchanges fell to their lowest point since August 21, while those from DEXs rose to the highest level in over a week.
<img loading="lazy" decoding="async" width="1593" height="799" src="https://crypto.news/app/uploads/2024/08/Net-outflows.jpeg” alt=”Floki's Departures”/>
Floki’s price action also coincided with weakness in the cryptocurrency industry, as bitcoin (btc) remained below $60,000. The total market capitalization of all coins has also fallen from over $2.3 trillion earlier this week to $2.09 trillion.
Launched in 2021, Floki has become one of the largest players in the meme coin industry, with a market cap of over $1.27 billion. This growth came as developers worked to transition from a simple meme coin to an active ecosystem.
They launched TokenFi, a platform for tokenizing real-world assets, Floki Locker, a DeFi network with more than $31 million into assets and Valhalla, a play-to-earn nft metaverse. In a x.com/mrbrownwhale/status/1829221736619139462″ target=”_blank” rel=””>Publication xThe developers noted that Valhalla would be coming in the next x.com/mrbrownwhale/status/1829221736619139462″ target=”_blank” rel=””>phase of x.com/mrbrownwhale/status/1829221736619139462″ target=”_blank” rel=””>growthbacked by its $30 million treasury.
Floki price has weak technical characteristics
<img loading="lazy" decoding="async" width="3574" height="1982" src="https://crypto.news/app/uploads/2024/08/Floki-Price-1.png” alt=”Floki Price”/>
Floki maintains some weak technical indicators as the token formed a death cross pattern on August 27 when the 200-day and 50-day moving averages crossed over each other. The percentage price oscillator, a unique form of the MACD, remains below the neutral point.
Therefore, Floki may continue to fall as sellers target the next level at $0.0000954, its lowest point in August and 25% below Friday's level.
