The Solana-based meme coin Bonk (BONK) experienced a significant price surge on July 2, climbing nearly 10% to reach $0.00001494. This impressive rally extends a period of positive momentum for tokens within the Solana ecosystem and appears directly linked to renewed speculation surrounding a proposed leveraged exchange-traded fund (ETF). The catalyst was a procedural update from Tuttle Capital Management regarding its filing for a 2x Long BONK ETF. While the product is not yet approved, the new filing has injected a fresh wave of optimism and speculative volume into the market, highlighting a growing demand for regulated, traditional financial instruments that offer exposure to volatile crypto assets like meme coins.

According to a post-effective amendment filed on July 1, Tuttle Capital stated that its suite of proposed leveraged ETFs, which includes the 2x Long BONK fund, could become effective no earlier than July 16, 2024. It is critical for traders to understand that this date is not a guaranteed launch date; rather, it represents the earliest point at which the ETF could go live, pending final regulatory clearance from the SEC and the firm's operational readiness. The initial Form N-1A was filed back on January 27, and this latest step signals progress, reigniting discussions about the potential for mainstream capital to flow into BONK. The filing notably also includes plans for 2x leveraged long funds for other major digital assets, including Solana (SOL), XRP, Cardano (ADA), and Litecoin (LTC), suggesting a broad strategy to capture institutional and retail interest in leveraged crypto trading.

BONK Technical Analysis and Key Levels

The price action for BONK on July 2 was dynamic and provides key insights for traders. The token initiated its move from a support base around $0.0000136, rallying over 12% to an intraday peak of $0.00001524. A crucial breakout occurred during the 16:00 UTC hour when BONK decisively pushed through the resistance level at $0.0000144. This move was supported by a massive surge in trading volume, with approximately 1.38 trillion BONK tokens changing hands, confirming strong bullish conviction at that price point. However, the rally showed signs of exhaustion shortly after. Between 16:48 and 17:47 UTC, a classic head-and-shoulders pattern began to form on shorter timeframes, a bearish reversal indicator that often signals a local top. The subsequent breakdown below the psychological $0.00001500 level was met with heavy selling pressure, exemplified by a single 17:39 UTC candle that saw 73.9 billion in volume. For now, immediate support is found near $0.0000142, a level fortified by the high-volume buying that occurred earlier in the day around the 13:00 UTC hour.

Altcoins Named in ETF Filing Also Rally

The news from Tuttle Capital didn't just impact BONK; it sent positive ripples across the other cryptocurrencies mentioned in the filing. Solana (SOL), the foundational blockchain for BONK, saw its SOL/USDT pair climb 3.99% to $155.61. Cardano (ADA) was a standout performer, with the ADA/USDT pair surging 8.52% to $0.6047, while its ADA/USD pair jumped 8.98% to $0.6066. Litecoin (LTC) also posted strong gains, with the LTC/USDT pair rising 6.90% to $90.13. This synchronized rally suggests that traders are not just betting on BONK but are speculating on a broader theme: the potential for SEC-blessed leveraged products to attract new liquidity to established large-cap altcoins. The potential for a 2x long ETF for these assets could significantly increase their trading volumes and volatility, creating new opportunities for sophisticated traders. As the July 16 date approaches, these assets will likely remain in the spotlight, with their price action closely tied to any further updates on the ETF approval process.

Beyond the ETF narrative, the BONK and Solana ecosystems continue to show signs of fundamental growth. BONK developers recently announced that the token redemption program for owners of the Solana Saga phone will officially conclude on July 31. With approximately 17,599 of the 20,000 allocations already claimed, the remaining tokens will be returned to the BONK DAO to fund future development initiatives. This move neatly coincides with the launch of the new Solana Seeker phone, marking a new chapter for Solana's mobile strategy. Furthermore, the broader Solana network continues to expand its infrastructure, recently adding DeFi Development Corp as a network validator and surpassing 350 on-chain integrations, which enhances the utility and reach of tokens like BONK across the Web3 landscape.