The Shiba Inu competitor, FLOKI, was one of the best competitors this year and continues to maintain a high level on the market. Its price more than doubled in 2024, prompting an influx of up-to-date investments in the meme coin. However, as investors throw money at FLOKI, one analyst expects this rally to be short-lived, predicting a massive crash in the altcoin’s prices.

FLOKI ready for a rally and then a landfill

The iMoneyTeam cryptocurrency analyst has predicted a FLOKA price dump that could wipe out all of the meme coin’s gains over the past few months. The analysis, which was published on the TradingView platform, tracks FLOKA’s movements over the past few months in order to predict the future direction of the price. As the cryptocurrency analyst explains, the price reached a “bearish iCH” in the internal structure, which resulted in an “internal pullback”, depicted in the chart below.

This is evident in the price decline that has rocked the meme coin so far in June. However, where asset recovery and continued gains are typically expected in this situation, the cryptocurrency analyst believes this is a setup for a further pullback.

For now, however, the analyst states that there is still a lot of upward pressure on the meme coin. This happens even when its price has crossed the trend line, which would normally be bearish. But in this case, bullish pressure can lend a hand the price maintain its position. Hence, prices may rebound towards up-to-date historical highs. However, it is only after this that the real problem of cryptocurrency begins.

Multiple targets for a meme coin

According to iMoneyTeam’s predictions, there will be a price boost before the FLOKA price collapses. The chart shows a bounce all the way to $0.00044, which is almost a 60% boost in the meme coin’s price at the time of writing. However, due to this, the cryptocurrency analyst expects that the Shiba Inu competitor will hit the supply zone, which will start a decline.

Once the price starts falling, the analyst expects it to drop as low as $0.00006. Now, at the current price of $0.00018, that would represent an 80% price drop. However, if the price does indeed reach a up-to-date all-time high of $0.00044 as the analyst predicted before the decline, then a drop to $0.00006 would represent an 86% drop.

As for when this might happen, the crypto analyst doesn’t provide a timeline of events. However, the chart shows that the price would reach the demand zone around $0.00006, which would suggest that this would be the bottom of the crash.

Featured image from Asia Crypto Today, chart from Tradingview.com