Solana-based memecoin Bonk (BONK) is capturing significant trader attention, driven by a powerful combination of bullish technical patterns, strong on-chain fundamentals, and mounting speculation around new institutional investment products. After surging over 20% earlier in the week, BONK demonstrated resilience, holding key support levels and signaling potential for another major leg up. The token's price action, which saw an intraday swing of over 9% into Thursday, peaked at $0.00001751 around 01:00 UTC on a notable volume spike of 1.66 billion tokens. While it has since consolidated, the underlying momentum appears robust, fueled by catalysts that could dramatically alter its supply and demand dynamics.

BONK ETF Buzz and Token Burn Set the Stage

The primary driver behind the recent rally is the growing anticipation for a leveraged BONK exchange-traded fund (ETF). According to a post-effective amendment filed on July 1, investment firm Tuttle Capital Management has set July 16 as the earliest possible effective date for its proposed 2x Long BONK ETF. While this date is not a guaranteed launch and is contingent on regulatory approval, it marks a significant procedural step forward. This development places BONK in a select group of assets, including Solana (SOL), XRP, Cardano (ADA), and Litecoin (LTC), for which Tuttle is seeking to launch similar leveraged products. The news has ignited speculative interest, as an ETF would provide a regulated, traditional finance gateway for investors to gain exposure to BONK, potentially unlocking a new wave of capital.

Adding to the bullish narrative is a major upcoming supply shock. The BONK community is on the verge of a significant milestone: reaching one million unique wallet holders. According to a plan laid out by the BONK DAO, achieving this milestone will trigger a burn of 1 trillion BONK tokens. With the current holder count standing at over 943,000, this deflationary event is rapidly approaching. A token burn of this magnitude permanently reduces the circulating supply, which, assuming stable or rising demand, can exert significant upward pressure on the price. This event coincides with the end of the Solana Saga phone token redemption program on July 31, with unclaimed tokens being returned to the DAO for future ecosystem initiatives, further aligning the token's trajectory with the growth of the Solana network.

Technical Breakout Points to Further Upside

From a technical standpoint, BONK's chart presents a compelling case for continued bullish momentum. The token has decisively broken out from two key consolidation patterns: a falling wedge and a symmetrical triangle. These formations typically signal the end of a corrective phase and the beginning of a new expansionary trend. Following the breakout, BONK established a strong intraday support level around $0.0000164, which was validated during a sharp reversal attempt at 13:52 UTC on heavy volume of 31.9 billion. The macro support structure remains firm at the $0.000013 level. Immediate resistance is forming near $0.000017 and, more critically, at the recent high of $0.000018. A sustained break above this ceiling could confirm the bullish trend, with analysts projecting a potential move toward $0.00003372. This target would represent nearly a 100% gain from current levels, highlighting the significant upside potential if the catalysts align and buying pressure persists. With the Relative Strength Index (RSI) showing no signs of being overbought, there appears to be ample room for growth before the trend becomes exhausted.