The price of Pepe (PEPE) has correlated with that of Bitcoin (BTC) over the past seven days according to the chart. The new froggy Ethereum blockchain-based ERC-20 token tanked down in price on the days BTC sold and rallied along with BTC simultaneously.
Bitcoin’s price nosedived over the past week as it hit a two-month low. Furthermore, the leading cryptocurrency saw its worst week of the year.
Pepe coin (PEPE) was not in existence before April 16, 2023. It was launched on deflationary supply by anonymous creators, the fungible token meme coin had no presale neither did it flex any marketing muscle.
However, in a matter of days, the new blockchain tadpole exploded into a billion-dollar bullfrog. And in 20 days, the price of PEPE coin rallied so high that its total market capitalization exceeded $1.6 billion.
Although it has retraced back from its quick launch rally, The market cap remains in an amount over excess of $700 million, which is an impressively fast market capitalization.
PEPE Coin Economics
The name Pepe references a legendary Internet meme, the coin is more than just a smart logo. The Ethereum smart contract of the meme coin has some in-built clever economics.
PEPE has a supply that is deflationary, with its limit set at over 420 trillion tokens. It shores up scarcity by incorporating a burn mechanism that burns LP tokens from liquidity providers and also ensures the voiding of contracts.
In addition to that, PEPE has a “no taxes” policy, which implies that the execution of transaction orders requires low fees. Furthermore, the chain redistributions of PEPE are built in to stave off inflation and favor long-term stakes.
The coin’s debut on crypto trading platforms was fairly designed, as 93.1% of the tokens were allocated to liquidity for sales, while we have seen a good number of new crypto projects allocate an unfair amount of the supply to dev’s founders. However, for PEPE the remaining 6.9% was kept in a multi-sig wallet for strategic deployment.
The first phase of the project, “Meme” has been completed already and was a huge success. The fast flow of capital into the coin put PEPE on par with crypto meme coin blue chips. In less than a month, it became a peer of popular meme coins like DOGE, and SHIB, including popular NFT collections like BAYC.
PEPE coin bears will be hard-pressed to keep their shorts covered, as the coin has decent incentivizing economics.
Meme Coin Power
The meme that represents PEPE is a favorite of the Internet and is also one of the most epic ones, coupled with its thriving community that dates back many years. No one can say who exactly the most devoted memester of PEPE is, but any user of the Reddit platform can point you to a lot of them, and it is the same users who post Shiba Inu memes.
As a result of that, the success that followed the launch of the Pepe coin was not really much of a surprise. It was designed to serve and appeal to a vast majority of anonymous market veteran crypto investors who had deep pockets full of juicy ROI from previous meme coin investments.
The investor support for crypto whales for Pepe coin has been mixed. A week after its launch, whales loaded up on $10M worth of tokens, stocking up 7% of the total PEPE supply. Which gave them control over around one-third of its liquidity on markets at the start of the rally.
According to Nansen Ethereum blockchain data, about 30 “smart wallets” consisting of (active and large traders) purchased a million dollars worth of the new coin at the beginning of its rally. Over the price dump in the past week, some whale addresses were spotted to be taking profits. However, according to data by Lookonchain, three crypto whales were spotted buying $4 million worth of PEPE.
On Saturday, Elon Musk Dogecoin bull and CEO of Tesla and SpaceX boosted the prospects of PEPE by posting a meme of Pepe “Explaining constitutional amendments.” The meme was a two-pane image featuring a meme frog depicted alternatively as a super cute browser of dank memes and a modern battlefield combat soldier.
How to Find the Next Pepe?
For crypto investors, the successful launch of Pepe on Ethereum is an exciting development. It also presents itself as an excellent case study on how to get in early on hugely successful projects.
Investors who were early in Pepe were able to turn a few hundred dollars into millions just after a few days. One trader who was recognized by many and goes by the pseudonym dimethyltryptamine.eth turned $263 worth of PEPE into $12.8 million practically overnight.
Such profits from a single investment can suddenly change the lives of many. Below are some daily practices that when adhered to, will increase your chances of hitting a home run similar to this one.
- Get Alerts for New Coin Listing: Whenever a new crypto is listed on an exchange, you’ll be notified. With a coin listing alert, you will be new opportunities. However, be advised that in a day, there will be multiple new listings. So a working and efficient process, a historically back-tested system must be available for sifting through the leads this way.
- Making Use of Uniswap and Getting Notifications for Updates from DeFi Exchanges: A notable pattern in the Pepe coin saga is how buyers who got in early made use of Uniswap. Defi volumes for Pepe exchanges had already soared ahead of the parabolic move of Pepe coin price going on May 1.
- Maximizing Dexscreener: It is one of the most important tools in the Defi space, Millions of users (crypto traders and investors) utilize it to help them monitor trading volume, price, trading volume, and on-chain trades of various tokens, and use that data to aid the decision making on their investments.
Image Source: DexScreener
Dimethyltryptamine.eth, the trader who profited multi-millions from his initial $263 investment utilized Uniswap.
Binance, Gate.io, Huobi, KuCoin, and MEXC are other exchanges where PEPE is currently listed.
In Conclusion
The super bullish debut of Pepe coin validates the position of meme coin investors who trade and buy coins like Dogecoin and Shiba Inu. In addition, it is undeniable evidence of the Internet’s relentless and enormous appetite for the services of Ethereum to store savings.
It is worth noting that, as enthusiastically advertised by the blockchain industry, these open-source finance platforms are open to everyone and can be utilized by anyone who learns how to write Ethereum’s scripts and design financial products.
Furthermore, these blockchain platforms are decentralized, autonomous, and artificially intelligent. A defi (decentralized finance) app can be built by anyone and the individual can decide to go work for Ethereum without needing any support or approval from other humans.
The software is designed in such a way that it can be utilized by anyone with adequate working knowledge of the instructional manuals for programming Ethereum (ETH).
Featured Image Source: Bitcoin.com News
