In late November, the developing team behind the popular Solana-based meme coin coin BONK proposed to burn 1 trillion tokens that the community would contribute during an event named BURNmas.
On Wednesday, they announced that they have surpassed that target and will now be burning a total of 1.69 trillion tokens in a move that could further propel the price of BONK to new heights.
As a result, Bonk is one of the few meme coins that has produced gains in the past 7 days, delivering a 7% return to holders during this period.
Notably, on December 20, back when the project’s founders announced that they hit the original 1 trillion milestone, the price of BONK went up by 14%. However, the token has not escape the pullback that the crypto market as a whole has experienced in the past few days as it accumulates a 30-day loss of 25.6%.
Other tokens have experienced similar setbacks during this period including Dogecoin (DOGE), which accumulates a 20.2% drop and dogwifhat (WIF), whose 30-day losses are even higher at 42.6%.
Token burns consists of sending a certain number of tokens to a specific crypto wallet used to store the assets that will be permanently removed from the blockchain. A smart contract is created to automate the removal and contributors are vetted to ensure that they own the number of tokens that they have committed to send to the burn address.
Once performed, these tokens no longer exist and the total supply of the asset is reduced as a result.
The primary goal of token burns is to force scarcity. In theory, this should help the value of the asset increase over time if demand remains constant or rises.
Data from CoinMarketCap indicates that the total supply of BONK currently stands at 92.66 trillion tokens. This means that a 1.69 trillion BONK bonfire would reduce the circulating supply by 1.8%.
BONK Keeps On Dropping as the Market Adjusts to the Federal Reserve’s New Plan
The BONK/USD chart shows that the price is on a clear downward path since it hit fresh all-time highs on December 20 at $0.00005029.
This descending channel is formed as the asset posts a series of lower highs and lower lows along the way and typically indicate significant weakness in the demand for the token.
The hawkish comments made by the Federal Reserve during their latest monetary policy meeting contributed to depress the valuation of several crypto assets. The United States’ central bank said that they are now prepared to make two interest rate cuts next year instead of the three that were initially planned.
Market participants interpret this as a sign that inflation could increase once again in the next one to two quarters and that raises the odds that the Fed could even halt its easing process.
Lower interest rates typically favor high-risk assets like cryptocurrencies as investors adopt a risk-on attitude and liquidity rises.
Despite this temporary weakness, the meme coin sector as a whole has experienced a significant surge after Donald Trump claim victory during the November U.S. election.
The price of most assets has climbed to new heights since then and BONK is no exception as it has delivered gains of 134.4% since the year started.
For now, the chart indicates that the price may continue its downward trajectory in the near future unless there’s a break above the upper trend line at some point in the future. However, considering the significant gains that meme coins have seen lately, this is a much-needed pullback that gives late buyers a chance to enter the market at more advantageous prices.
Investors Are Pouring Millions into This Innovative Meme Coin
The Flockerz presale is attracting millions from investors despite the wave of negative sentiment that has taken over the crypto market in these past 30 days.
Currently, the $FLOCK token has managed to raise $7.9 million in just a few days amid its appealing incentive mechanism called vote-to-earn (V2E).
Vote-to-earn (V2E) rewards token holders for participating in the project’s decision-making process by casting votes.
Flockerz is the pioneer of this trend and that positions the meme coin to perform positively once the mechanism is adopted widely.
The token has been audited by two well-reputed crypto security firms – SolidProof and Coinsult – and they have confirmed that the project has no coding flaws.
Currently, the $FLOCK token is offered at $0.00653 in presale. However, this will price will only be available for the next 27 days. Once that period comes to an end, the token will be launched and listed on exchanges and the price will rise.
To buy $FLOCK at this discounted price, simply visit the Flockerz website and connect your wallet. If you don’t have one, you can download the Best Wallet on Google Play or the Apple App Store.
You can either convert ETH or USDT tokens to buy $FLOCK or use a bank card.
Don’t miss the chance to buy this promising meme coin that could end up producing 10X gains once its listed on top exchanges.
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