BONK price is seemingly facing a bearish outcome simply due to the lack of support from the investors.

The investors do not appear very bullish, from pulling money out of the asset to straight-up funding the downtrend.

BONK Investors Push for a Drop

The BONK price is vulnerable to further decline, as evident from the shift in market cues. The Chaikin Money Flow (CMF) indicator is currently showing a significant increase in selling pressure. 

This suggests that investors are pulling their investments out of the coin. The CMF below the neutral line indicates that the coin is experiencing more outflows than inflows. Despite the slight rise, the downtrend continues to dominate the indicator, which could signal a lack of confidence among investors. 

In addition to the increasing selling pressure, there is also a noticeable trend of investors betting on a decline in BONK’s price. This bearish sentiment is reflected in the meme coin’s negative funding rate. A negative funding rate implies that short positions are dominant, with traders paying a premium to maintain their bearish bets.

The combination of rising selling pressure and a negative funding rate paints a concerning picture for BONK’s short-term prospects. Investors pulling out their funds and betting against the coin could lead to further downward pressure on its price.

Read More: Bonk Airdrop Eligibility: Who Can Claim and How?

This trend might be a response to broader market conditions or specific issues related to BONK.

BONK Price Prediction: Key Support at the Test

BONK’s price at $0.00002221 is somehow managing to keep above the critical support at $0.00002153. Attempting to fall below it twice now, the meme coin is looking to recover, but the investors are not supporting this.

The aforementioned cues suggest a drawdown is on the cards. If the support of $0.00002153 is broken, the BONK price could fall to $0.00001375, which would extend the losses.

Read More: 11 Top Solana Meme Coins to Watch in June 2024

But if the meme coin manages to bounce back, it could potentially reclaim $0.00002748 as support. This would invalidate the bearish thesis and even make the investors’ sentiments bullish.

BeInCrypto comprehensive Latam Crypto Roundup brings Latin America’s most important news and trends. With reporters in Brazil, Mexico, Argentina, and more, we cover the latest updates and insights from the region’s crypto scene.

This week’s roundup includes stories about Paraguay’s intensified efforts against illegal Bitcoin miners, the growth of cryptocurrency users in Mexico, and more.

Paraguay Raises Electricity Rates for Bitcoin Miners

Paraguay’s National Electricity Administration (ANDE) has increased electricity rates for cryptocurrency mining companies by 9 to 16 percent. This measure aims to curb losses from illegal mining activities, estimated to cost the country up to 14 billion guaraníes (over $185,000).

On June 26, ANDE issued Resolution 49238, updating electricity tariffs. Hugo Fernández, ANDE’s commercial manager, informed the newspaper Última Hora about intensified efforts against illegal cryptocurrency mining. He revealed that 72,823 KVA (kilovolt-ampere) have been intervened this year. Most energy thefts affect the electrical system.

“The intervention represented a monthly loss of G. 14,720,458,825 for the institution, in terms of unregistered active energy, which added to the intervention costs and fine, must be paid by the person responsible for the theft of electric energy. This fact damages the proper functioning of the electric system”, Fernández explained.

Read more: Is Crypto Mining Profitable in 2024?

In early June, national deputy María Constancia Benítez de Benítez presented a bill titled “That regulates cryptomining in the Republic of Paraguay,” aiming to regulate Bitcoin mining. She acknowledged that mining presents an opportunity for the country’s economic development.

BeInCrypto CEO Alena Afanaseva Will Speak at Blockchain Rio 2024

The highly anticipated Blockchain Rio 2024 will take place from July 24 to 25 at EXPOMAG in Rio de Janeiro. This year’s event will feature more than 300 experts from the new economy, including BeInCrypto CEO Alena Afanaseva. She will discuss global trends in the new economy and the educational role of media outlets.

Other confirmed participants include Ariel Scaliter, co-founder and CTO of Agrotoken, and Daniela Barbosa, director of the Hyperledger Foundation. João Aragão Pereira, technology and innovation specialist at Microsoft, and pro-crypto Senator Carlos Portinho will also attend. They will present their expertise in different areas, from digital finance to energy and agriculture.

Read more: Top Crypto Events in 2024

Agrotoken, Microsoft, and Hyperledger have joined the Drex pilot platform consortium to highlight the importance of advanced blockchain applications. Blockchain Rio 2024 will also feature workshops, hackathons, knowledge trails, networking areas, Rio Digital Arts gallery, and immersive experiences. The business fair will provide a platform for companies to showcase their solutions, making new connections and potential collaborations among attendees.

Bolivian President Lifts Cryptocurrency Ban Amid Dollar Shortage

In response to an economic crisis marked by a shortage of dollars and fuel, Bolivia has lifted its ban on using cryptocurrencies as a means of payment. President Luis Arce announced this decision to mitigate the impact of dwindling foreign currency reserves caused by a decline in gas exports, the country’s primary income source until 2021. Arce believes this move could significantly benefit the Bolivian economy by attracting foreign capital and modernizing its financial system.

From a macroeconomic perspective, allowing cryptocurrencies could attract foreign investment, as these digital assets enable fast and secure global transactions. This potential for seamless international trade might encourage both individual and corporate investors to diversify their assets in emerging markets like Bolivia, bypassing traditional currency restrictions.

Bolivia, which receives substantial remittances from citizens abroad, stands to gain from this policy shift. Cryptocurrencies provide a quicker and cheaper method for transferring money, reducing transaction costs and increasing the inflow of dollars into the country.

Read more: Crypto Regulation: What Are the Benefits and Drawbacks?

The adoption of cryptocurrencies could also boost e-commerce by enabling local businesses to sell products and services internationally without traditional banking barriers. This expansion would help diversify Bolivia’s revenue sources beyond gas exports.

Overall, Bolivia’s decision to embrace cryptocurrencies could mark a shift in addressing its economic challenges, offering new opportunities for investment, commerce, and financial stability.

3.1 Million Mexicans Now Own Crypto, Report Reveals

A recent report from Sherlock Communications reveals that cryptocurrency adoption is on the rise in Mexico, with over 3.1 million holders, equivalent to 2.5% of the population. Previously, the consultancy identified Brazil and Argentina as the regional leaders.

The growth potential for crypto adoption in Mexico is significant, partly due to the $63 billion remittance market with the United States. A single exchange, Bitso, processed $4.3 billion last year.

“Legislators and authorities have been silent on the tax status of cryptocurrencies, and so far, no tax regulation in Mexico makes reference on the subject. Certain interpretations apply tax provisions and make applicable income tax rates of 30% to 35%, 16% VAT on each transfer within the country (but 0% if the buyer is outside Mexico) and 10% capital gains,” Sherlock Communications stated.

Read more: Who Owns the Most Bitcoin in 2024?

In addition, the report noted some companies have been instrumental in increasing the adoption of cryptocurrencies in Mexico. Among them, the following stand out: Bitso, Volabit, Coinbase, Ripple, Banco Azteca, Banxico, Telefónica, Helium, Etherfuse, investment firms Exponent Capital, Lvna Capital and GBM, ConsenSys Academy and BIVA.

Sherlock Communications argues that there are factors driving the use of cryptoassets in Mexico, such as the central bank’s digital currency (CBDC) working the country, 40% of companies in the country seek to use blockchain technology, the Fintech Law, and even, crypto sympathy from legislators in Mexico.

“Blockchain enjoys an excellent reputation in Latin America. Latin Americans see the technology as having positive consequences in areas beyond the business field and financial sectors. In the region, 61% of respondents in this sample agree that blockchain technology can transform the way governments keep records,” the report read.

As the Latam crypto scene grows, these stories highlight the region’s increasing influence in the global market. From Bolivia’s recent efforts to rising adoption of digital assets in Mexico, Latin America is positioning itself as a key player in the tech world. Stay tuned for more updates and insights in next week’s roundup.

US lawmakers will vote next week on H.J. Res. 109, a bill to overturn the controversial SEC accounting bulletin—Staff Accounting Bulletin 121 (SAB 121). President Joe Biden vetoed the bill in May, reinforcing his administration’s commitment to strict financial regulations.

House Majority Leader Steve Scalise’s weekly schedule indicates that the resolution may be considered on Tuesday or Wednesday of next week.

Biden’s SAB 121 Veto Faces Potential Override

SAB 121 mandates that financial institutions list their customers’ digital assets on their balance sheets. Critics argue that this rule keeps digital assets outside the US financial system. The House and Senate approved the repeal of SAB 121 in May, but the President vetoed it.

Overturning Biden’s veto requires a two-thirds majority vote from the House and Senate. Alexander Grieve, head of government relations at venture capital firm Paradigm, noted that achieving this might be possible given the industry’s growing political awareness.

Read more: Crypto Regulation: What Are the Benefits and Drawbacks?

Crypto has become an important political topic in the current election cycle. Companies like Coinbase and Ripple are donating to the crypto-focused Super Political Action Committee (PAC) Fairshake. In a recent development, Multicoin Capital, a blockchain investment firm, plans to donate up to $1 million in Solana to support pro-crypto Republican lawmakers.

“Over the next 10 days, Multicoin Capital will match all SOL donations to Sentinel Action up to $1 milion in value. If you make a contribution in SOL during this period, we’ll double the impact of your contribution with our match,” Kyle Samani, managing partner at Multicoin Capital said.

Due to this, President Biden and former President Donald Trump are both courting crypto investors. Trump has garnered more industry stakeholders’ support due to his more favorable stance toward crypto. The former president had pledged to support the industry and end the Biden administration’s “war on crypto.”

Read more: How Can Blockchain Be Used for Voting in 2024?

On the other hand, President Bident has faced increasing questions about his ability to contest the November elections following a poor debate performance against Trump. Bettors on Polymarket believe there is a 62% chance he will drop out of the campaign despite his insistence to remain in the race.

“Let me say this as clearly as I can: I’m the sitting President of the United States. I’m the nominee of the Democratic party. I’m staying in the race,” Biden stated.