PEPE’s early success has been undeniable, with many early investors reaping significant profits.
PEPE, a meme token based on the popular cartoonish frog Pepe, has seen a meteoric surge in value as the meme coin mania seemingly creeps in again.
In the past 24 hours, the token rose by over 85% to tap an all-time high of $0.0000009979.
Notably, the lowest price paid for Pepe (PEPE) was $0.000000055142, recorded on Apr 18, 2023. Its current price of $0.00000105 is 1,611.50% higher than the previous two weeks, making a New All-Time High.
Its market capitalization has also surged significantly, pushing the coin to the 106 ranks on Coingecko.
What is PEPE?
PEPE’s rise is part of a recent market trend for meme tokens modeled after Pepe the Frog, a humanoid frog cartoon character that has become popular in certain online communities. The meme coin burst onto the scene on Apr 18, 2023, with a total maximum supply is 420 trillion, a reference to the 4/20 cannabis culture.
And although not much is known about the cryptocurrency, it’s quite clear that its creator did not intend it to be a serious offering, with its official website describing it as “completely useless and for entertainment purposes only.” Notably, however, the meme coin possesses various characteristics of a cryptocurrency redistribution system that rewards long-term stakers and a daily token-burning mechanism that aims to reduce its sky-high coin supply.
Red Flags Ahead?
Despite its glorious surge, some investors are now worried that PEPE’s price could fall just as quickly as it has risen since other meme tokens are doing a better job of providing actual value and utility.
First, the fact that its creators are unknown suggests that it may be part of a classic rug pull.
You are not wrong. Everyone else is caught up in the red flags due to their own degen (poor choices)… $Pepe comes along with 46,500 holders in less than two weeks along with +100 million market cap without a long drawn out rug pull ICO, impressive. Pepe is still very risky… https://t.co/iQwHjlW8VG
— Phil Taul (@philtaul) April 27, 2023
Secondly, the fact that five wallets, each holding more than $1 million worth of PEPE tokens, possess a substantial portion of the token’s supply is alarming. This concentration of tokens raises concerns about the potential impact these wallet owners can have on the token’s price, particularly given the limited availability of liquidity.
This guy sells $PEPE every time the price of $PEPE increases.
He sold 100B $PEPE for 21 $ETH($40K) at $0.0000004007 just now.
So far, he has sold 800B $PEPE (14% of all $PEPE) and got 117 $ETH ($221.5K), with an average selling price of $0.0000002744.https://t.co/tn1YWvldAi pic.twitter.com/FyBRzH2RSj
— Lookonchain (@lookonchain) April 29, 2023
Nonetheless, despite the potential risks associated with Pepe Coin, its early success has been undeniable, with many early investors reaping significant profits. It will be interesting to see how Pepe Coin performs over the next few days, even though its only driving force appears to be a rising price.
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Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.