FLOKI Price Holds Critical Demand Zone, Eyes Potential Breakout to $0.00016

FLOKI stabilized near a critical technical support level on Thursday, January 29, as traders stepped in to defend the midline of a descending price channel, according to analysis shared by crypto analyst Jonathan Carter. The move comes amid fading selling pressure, putting the meme token back on traders’ short-term radar.

The stabilization occurred after multiple downside tests failed to push it below the same demand zone, signaling growing buyer interest at current levels. Market participants are now closely watching whether this defense marks the early stages of a momentum shift or merely a pause within a broader downtrend.

Also Read: FLOKI Price Forecast 2025: Could Hit $0.000346 Soon

FLOKI Price Action Signals Short-Term Support Defense

Looking at technical data, FLOKI is currently sitting above the midline of the channel. This has been a pivot in past corrections. Each time the price has fallen to support, there has been obvious buying activity. This is typically a precursor to a move in price if price compression continues.

As long as the support level continues to hold, the focus is on the potential for a measured move up to resistance levels.

The first resistance level is near $0.000052, then $0.000078, where selling pressure was increasing. A continued breakout could see the price rise to $0.000117, where distribution levels were seen previously. A more bullish scenario could see $0.000160 come back into play.

Source: Jonathan Carter X Post

However, risk management still takes center stage as this setup continues to evolve. A significant drop below the established support zone will negate this developing bullish argument and open FLOKI up to greater losses. Traders are particularly interested in the $0.000030 level as a key level where this argument of buyer dominance will fail.

Bearish Pressure Persists Below Key Moving Averages

However, despite this technical support defense, the overall technical outlook is bearish. According to TradingView, FLOKI is trading lower than its 20, 50, 100, and 200 Exponential Moving Averages as of Thursday, January 29. The repeated rejections on FLOKI’s short-term EMAs indicate that bears are present.

Source: TradingView

The momentum indicators also support this conservative outlook. The Relative Strength Index is trading near 36, far from the 50-level. This indicates low buying momentum. The price has witnessed some small rallies, but there has been no follow-through. Unless FLOKI breaks through its EMA resistance levels, the overall trend will remain downward.

Also Read: FLOKI Trading Insights: Volume Spike and Bullish Channel Suggest $0.000200 Rally