- Floki DAO has burned 15.246 billion FLOKI tokens, following a community vote with 99% approval.
- FLOKI’s price fell by 10% from $0.00024 to $0.0002175 post-burn.
Floki DAO, the decentralized organization behind the popular FLOKI memecoin, has completed the burning of 15.246 billion FLOKI tokens. This decision follows an overwhelming vote from the community, with 99% of the participants favoring the burn.
The proposal to reduce the token supply, put forth on May 13, 2024, aimed to enhance the token’s value by decreasing its circulation. This burn involved tokens previously seized from a compromised bridge in February 2024 and others from a decommissioned cross-chain bridge in January 2023.
However, the execution of this token burn reflects the strong support within the Floki community, as evidenced by the 99.84% approval rate, representing 460 billion $FLOKI. Only 0.16% of the votes, or 723 million $FLOKI, opposed the measure.
FLOKI set to rise or fall?
Despite the expectation that reducing the token supply would boost its price, the immediate market reaction has been contrary. Following the burn, the price of FLOKI dropped by 10% from its daily peak of $0.00024 to $0.0002175. This decline coincides with a broader market consolidation trend affecting major cryptocurrencies, including Bitcoin.
Currently, FLOKI is trading at $0.0002278, with a market cap of $2.15 billion. Over the past 24 hours, its trading volume has plummeted by 35.86%. However, the token has still managed to rise by approximately 5.85% over the past week and 32% over the last month.
Looking forward, if FLOKI can maintain a bullish trend and surpass the $0.000235 mark, it could encounter resistance at $0.000248 and $0.000257, potentially driving its price up to $0.000285. Conversely, if the token fails to stay above $0.0002129, it may decline to $0.000203 and $0.000196, with further potential dips to $0.0001605.
