The cryptocurrency meme coin category is coming back to life this week, led by notable rallies for tokens such as WIF, PEPE, SHIB, and BONK. There could be a resurgence of speculative mania for these novel assets connected to blockchain networks. Just the day before, there was an average gain of 13% across all meme coins.
TLDR
- After holding WIF tokens for three months and the price soaring more than 4500 times, the trader turned $310 into $1.4 million.
- Solana meme token BONK price is up 17% in a bullish momentum signal, targeting $0.000026 next.
- WIF price has surged 42% and could continue towards $0.70 as the indicator remains bullish.
- Meme coins as a whole are rebounding, with Ethereum’s PEPE up more than 50% and the category up an average of 13%.
- Meme tokens carry risk but are considered speculative bets aimed at profiting from network growth. WIF revenue taken from some wallets
WIF was the breakout star, with the Solana-based meme token soaring more than 65% at one point early Tuesday. The surge means one lucky trader who bought $310 worth of WIF last November is now sitting on a stack worth more than $1.4 million.
Earning 4500x profits in just 3 months is a meme token dream come true. However, despite unlocking life-changing money, this WIF whale wallet continues to hold 2.58 million tokens. Clearly, the overnight millionaire believes there are bigger profits left in store, judging by the Diamond Hand HODL strategy.
The massive upside aspect shows why a speculative punt on meme coins associated with the rising blockchain ecosystem can offer big rewards. WIF isn’t the only dog-themed token, BONK also rose 18% on its own Solana network.
Meanwhile, PEPE powered 50% higher as Ethereum’s iconic frog meme took part in the bidding. When niche meme assets begin to explode like this, they often herald a broader altcoin rally unfolding.
And the animal spirit euphoria has clearly returned to the cryptocurrency market, with Bitcoin suddenly surging above $57,000, its highest since 2021. Meme coin traders will likely try to take early profits by investing capital in these tokens, which could offer exaggerated upside during a bull market.
Both BONK and WIF remain solidly bullish on a 4-hourly basis, per technical analysis. In particular, BONK appears to be preparing for a push towards the next $0.000026 unless selling pressure increases. The Awesome Oscillator indicator also suggests that WIF still has momentum towards $0.70 despite the RSI overbought signal.
Of course, enthusiasm for inherently worthless meme assets never lasts forever. Several wallets have already poured in $4 million worth of PEPE tokens, taking out profits from the 50% breach. And similar cycles have been seen in previous cryptocurrency bull markets.
At some point, irrational vitality reaches its peak and gravity takes hold. Nonetheless, smart traders are riding the uptick and switching to more sustainable and legal cryptocurrency assets before the music stops.
For those willing to set tight stop losses and watch closely, meme coin runs provide an opportunity for coattail riding.
