BONK has faced a steep decline of 21% within seven days, reflecting a bearish trend in the Memecoin sector. This decline highlights a shift in market sentiment towards memecoins, indicating a potential continued downtrend if conditions persist. The current market sentiment emphasizes selling pressure as traders close their positions.

According to technical indicators, BONK is trading in a descending parallel channel, suggesting a prolonged downtrend due to prevailing selling activity over buying interest. The Chaikin Money FLOW further supports this, indicating BONK is likely in a distribution phase. These trends portend potential challenges unless buying activity increases significantly.

Traders have reportedly reduced speculative activities, with Open Interest dropping by 28% to 14.12 million USD. This reduction could fuel a continued downtrend unless market interest revives. With key liquidation levels at specific price points, these could become critical in driving market behavior and future price movements.