BONK’s Trading Volume Decline

BONK’s trading volume fell by more than 26.68% in the last 24 hours, leading to a hike in price volatility.

Active addresses and market cap remain stable, indicating consistent user engagement.

BONK, a memecoin on the Solana blockchain, has seen a significant drop in trading activity lately. In the last 24 hours alone, its trading volume fell about 26% to around $69.46 million, according to CoinMarketCap.

However, even though BONK’s trading volume dropped, its price didn’t change much. At press time, it was valued at $0.00001083, with the altcoin’s value of $847 million placing it among the market’s top-100 cryptos. Simply put, despite low trading activity, BONK is still holding strong across the market.

When trading volume drops, prices can swing more. With fewer trades happening, each affects the price more, making it jump to the upside or downside faster. This can be risky for investors because with less buying and selling, prices can change in unexpected ways. Hence, it’s important to be careful during times like this.

In this case, even though trading volume is down, the number of people using BONK hasn’t changed much. This means that loyal users are still active, helping keep the token steady even as the price fluctuates.

BONK’s Fundamental Outlook

Regardless of the altcoin’s declining volume, it is still worth looking at BONK’s other major metrics such as active addresses and new addresses to get a full picture of how the asset is performing on-chain.

According to Glassnode, BONK’s active addresses have faced a consistent plunge, dropping from over 54,000 addresses in early February to below 15,000 active addresses at press time. This decline in active addresses suggests that the asset is seeing less activity, especially from investors.

Interestingly, Glassnode revealed that the number of new non-zero addresses, indicating new participants holding BONK, climbed steadily after a decline from December. This surge in new addresses is a sign that more investors are joining the BONK community, helping to balance out the drop in trading.

A growing number of new users is a good sign, showing that more people are interested in the token and using it.