Here's what FLOKI looks like after a 14% gain in 24 hours

Floki (FLOKI) has generated a lot of attention in the cryptocurrency market, gaining 14.19% in the past 24 hours, bringing its price to $0.0001686. With a massive surge in trading volume of over 147%, investors can't help but wonder, can FLOKI continue this upward trend, or will it face a short-term pullback?

Technical Analysis: Overbought Signals and Market Pressure

From a technical perspective, FLOKI's 4-hour relative strength index (RSI) reached 82.56, entering the "overbought zone". Such high RSI values ​​usually indicate excessive buying pressure in the market, which may mean the risk of a correction or pullback in the future. However, despite the RSI showing overbought, FLOKI remains near the upper band of the Bollinger Band, indicating that the price is stable above the key support level. This stability provides some support for the short-term bullish trend.

On-chain data: transaction volume and active address growth

On-chain data also supports FLOKI's strong performance. Daily active addresses increased from 2,796 to 3,746, showing growing interest in FLOKI. Additionally, trading volume surged 147% to $143.67 million, indicating a significant increase in market participation. Such a significant increase in trading volume usually indicates strong buying interest, reinforcing FLOKI's bullish outlook.

Social Influence: Community-Driven Growth

FLOKI's social dominance also contributed to its price increase. FLOKI's share of social conversations rose to 0.149%, reflecting increasing attention and discussion. As social sentiment heats up, especially in the retail market, such sentiment increases have historically been accompanied by price increases. Nonetheless, investors need to be aware of the volatility of social sentiment, which may trigger price fluctuations if a large number of traders begin to take profits.

Long/Short Ratio: Subtle Changes in Market Sentiment

The long/short ratio shows that long positions are 51.23% and short positions are 48.77%, indicating that market sentiment is slightly bullish. Although the ratio is close to balanced, it suggests that optimism has a slight upper hand in the market. Traders should pay close attention to changes in this ratio, as sudden shifts in market sentiment can have short-term price impacts.