Why Is BONK Up By 150% And Who Is The ‘Bonk Guy’?

Leading Solana meme coin BONK’s latest 150% rally is largely attributed to its ongoing token burn and a record $2.6billion trading volume. 

The bull market is in full flow, as Bitcoin recorded its all-time high nearing $93,000 earlier this month and Solana reached its highest value in over three years. The bullish cycle has impacted the meme coin market, with Dogecoin (DOGE) seeing over 100% growth this month.

Yet, the highest-performing meme coin in November is BONK – the Solana-based token that surged by more than 1,000% in 2024. BONK’s 90% price rally this week came as a surprise to the meme coin community, as most Solana meme coins have been liquidations in this bullish cycle. This is because the meme coin season earlier this year recorded the highest growth, and traders have been distributing those funds across more mainstream cryptocurrencies like Bitcoin, Solana, and XRP.

However, BONK started a major upward trend last week and recorded a new all-time high on Monday 18 November. Most surprisingly, this notable rally was predicted days earlier by the popular meme coin trader called the ‘Bonk Guy’.

So, who is this Bonk Guy? And why is BONK going up?

Bonk’s market rally explained

Trading volume surge

Bonk led major meme coins with a 16% increase in the past 24 hours. It achieved $2.6bn in trading volumes, a significant figure for a dog token on Solana. On Coinbase, Bonk topped meme coin trading with $384m in 24 hours. It outperformed Dogecoin, Pepe (PEPE), Shiba Inu (SHIB), and Dogwifhat (WIF). This performance indicates strong retail and institutional interest on the exchange.

Technical analysis and trader sentiment

Price charts show Bonk breaking out from consolidation patterns. It bounced off a triple bottom on the weekly chart against the SOL/USD pair. A triple bottom is a bullish pattern signaling potential price increases. Bonk’s outperformance may draw attention as a beta bet on the Solana ecosystem. Traders believe that rising demand for Solana can boost Bonk.

Traders highlight Bonk’s low market cap compared to DOGE and SHIB. With a current market cap of $3.6bn, Bonk appears undervalued. This low unit bias attracts new traders seeking growth opportunities. High trading volumes on Coinbase further enhance Bonk’s appeal.

BONK token burns and scarcity

BonkDAO actively reduces the token supply to increase value through scarcity. Recently, the group burned 100 billion tokens and aims to burn one trillion tokens by December. Token burns remove tokens from circulation, limiting supply and potentially driving up prices.

Bonk’s team announced a ‘BURNmas’ event, starting on 15 November and ending on 24 December. During this period, Bonk tokens will burn based on engagement criteria. This ongoing effort supports Bonk’s price growth by maintaining scarcity.

Overall, Bonk’s 160% rise this month results from high trading volumes, strong community support, bullish technical patterns, and strategic token burns. The combination of retail and institutional interest, low market cap, and active supply reduction positions Bonk for continued growth in the Solana ecosystem.

Who is the Bonk Guy?

The term ‘Bonk Guy’ refers to a pseudonymous cryptocurrency trader known as ‘Unipcs’. He gained attention in early 2024 for transforming a $16,000 investment in BONK into over $12m. Despite the significant gains, he chose not to sell his holdings, leading to fluctuations in his portfolio’s value.

‘Unipcs’ has been vocal about his trading experiences on social media platforms, sharing insights into the volatile nature of meme coins like Bonk. The recent rally of Bonk comes after his correct prediction about the meme coin just days ago.

In his latest tweets, Unipcs highlighted BONK’s unique position as the only new meme coin on Coinbase, alongside DOGE and SHIB, and its status as the only meme coin with an exchange traded product (ETP). He pointed to BONK’s recent breakout from a year-long consolidation phase and its relatively low market capitalization compared to DOGE and SHIB, suggesting that BONK could experience significant growth.