As a seasoned analyst with over two decades of experience in the financial markets, I must admit that I have never seen a memecoin rise as meteorically as POPCAT has in recent months. The cat-themed cryptocurrency’s journey to reach a $1 billion market capitalization is nothing short of extraordinary.
Over the past few months, I’ve found myself captivated by the explosive growth of POPCAT, a Solana-based memecoin that’s taken the crypto world by storm. This feline-themed token has been leading its sector, making history as the first cat-focused cryptocurrency to hit a $1 billion market cap.
Whales Go Popping Their Bags
Today, it was disclosed by on-chain analysis company Lookonchain that a significant crypto investor has recently acquired large quantities of POPCAT. This investor had previously owned the memecoin but chose to offload their holdings just a few days ago.
According to the data, a whale made a purchase of approximately 2.36 million POPCAT units around Thursday morning at an average cost of about $0.68 per unit. In total, the same address conducted nine separate transactions, exchanging roughly 1.47 million USDC, with individual transaction amounts ranging from 150,000 to 200,000 USDC.
Following Lookonchain’s post, the investor made another purchase of 299,345 tokens, costing them approximately 200,000 US Dollars Coin (USDC). Over the last eight hours, this large-scale investor, or ‘whale’, has amassed a total of about $2.66 million worth of POPCAT tokens, equivalent to roughly $1.75 million. The whale made these purchases at an average price of around $0.65 per token.
This particular address bought approximately 6.05 million POPCAT from April 21st to April 26th, spending around 1.84 million USDC. At that point, this investor was buying memecoins. However, they sold these tokens a week ago for about 3.31 million USDC, which translates to a profit of over $1.47 million in USDC stablecoin.
It’s come to light from digital sources that another whale has been on a purchasing frenzy over the past three days. This account purchased approximately 5.67 million tokens on Monday, which equates to around $3 million, through three Dollar-cost averaging (DCA) transactions.
After that purchase, the investor has been consistently buying more of the memecoin themed around cats, adding another 470,000 tokens to their collection today, with a total value of $308,000. Consequently, this now brings their entire POPCAT holdings up to 6,140,000 tokens, worth approximately $3,880,000.
Is Popcat About To Lead The ‘Cat Season’?
Based on the whale’s trades, POPCAT’s daily activity significantly spiked by 25%, reaching a daily trading volume of approximately $151 million. Moreover, the price of this memecoin experienced a substantial rise of around 20%, touching the $0.067 mark today.
Due to its impressive performance, POPCAT emerged as the biggest winner in the top 10 memecoins, sparking a surge in the sector. Furthermore, it turned out to be the biggest daily gainers among the top 100 cryptocurrencies by market capitalization, which appears to have ignited optimism among investors, suggesting a bullish trend.
Some analysts have observed that this meme coin has been on an upward trajectory since the broader market began its downturn in March. Over longer periods, the feline-themed token shows positive gains, increasing by 17%, 139%, and 110% over one month, three months, and six months respectively.
During September, Sjuul from AltCryptoGems pointed out that the cryptocurrency POPCAT experienced some fluctuations. Initially, it dipped to a range around $0.45, but over the past week, it managed to recover and regain the $0.55 support level.
Earlier observations showed that the cryptocurrency didn’t manage to surpass the $0.7 resistance point as August concluded, leading to a decrease in its value to the $0.55 support area. Subsequently, the token’s price dipped even further below $0.50 in the subsequent days.
As per the article, the memecoin maintained its upward trend within a bullish pattern even during a drop. Yet, the trader cautioned that investors should keep an eye on crucial support levels around $0.50 and $0.40 to $0.40.45 in the upcoming weeks.
Translating Sjuul’s statement to simpler, more conversational language: “If the memecoin bounces at either of these two levels, it suggests that bulls are still dominating the market. This would result in a new higher low on the long-term chart, paving the way for another attempt to break through resistance. If successful, this could potentially trigger a powerful surge in the coin’s price.
Currently, the cryptocurrency is back above the $0.65 price mark, with its latest trade taking place at $0.655.
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2024-09-13 11:11