Earlier this week, the unclosed position contract of FLOKI was worth $16 million. But not anymore...

Over the past week, FLOKI has been trading within a range-bound market.

If the buyer re-enters the market after the MACD issues a buy signal, it may help to see a bullish breakout.

FLOKI has been under bearish pressure as the price of the memecoin has dropped 21% on the chart in just one month. During this period, its market value also decreased from $26.5 billion to $17.5 billion.

As of press time, after a 1.17% decline in the past 24 hours, these bearish trends are still in effect, and the cryptocurrency trading price is $0.000183. Despite the decline, FLOKI seems to be defending its key support level. However, the lack of buying pressure may just be forcing the memecoin into a consolidation phase.

FLOKI Price Analysis:

Over the past week, the price of FLOKI has fluctuated between $0.000173 and $0.000190. One of the factors lacking a clear trend is the lack of market confidence. In fact, on the daily chart, the Chaikin Money Flow of the memecoin is negative - indicating significant selling pressure.

However, despite the CMF being negative, the green bars of the volume histogram indicate that buyers are also active. The struggle between buyers and sellers may be the reason for FLOKI's lack of significant gains or declines, forcing FLOKI to consolidate.

On the chart, the Moving Average Convergence Divergence (MACD) line has formed a buying opportunity after crossing the signal line. In addition, the histogram bars appear to have turned green, indicating that buyers have become active.

If buying pressure continues to rise and exceeds selling pressure, it may support FLOKI in breaking through this consolidation zone and entering a bullish trend.

Derivatives market is recovering mildly

The surge in trading volume of Close Position contracts and derivatives often leads to price fluctuations, thus supporting strong trends. Earlier this week, the Close Position contracts of FLOKI amounted to 16 million dollars.

However, it has since soared to 24 million US dollars on the chart.

This rise indicates a renewed speculation interest, which may lead to increased volatility. However, the number of unfilled Close Position contracts has still dropped by 50% compared to mid-December.