The price of Pepe (PEPE) hit a 42-week high yesterday, continuing its vertical rally that kicked off last Friday.
However, investors are divided on whether the coin can sustain this growth or if a correction is coming.
Meanwhile, the much-hyped meme token Meme Kombat (MK) is gearing up for its first exchange listing, sparking significant buzz on social media.
PEPE’s Price Surges Thanks to Bullish Technicals & Fundamentals
The explosive price surge of PEPE can be attributed to several fundamental and technical factors.
A major catalyst was Binance launching a promotion that incentivized buying and holding PEPE through free token rewards and increased yields.
This led to a flood of new capital entering the market, with PEPE’s 24-hour trading volume spiking massively.
The promotion also signaled Binance’s confidence in PEPE – attracting even more investor interest.
At the same time as the Binance promotion, PEPE exhibited bullish technicals, like breaking out of a bull flag pattern on the 4-hour chart.
PEPE also used the 200-day Simple Moving Average (SMA) as support to push higher.
There has even been a massive surge in active wallet addresses, from 831 on February 21 to 9,265 yesterday, representing a 1,014% increase.
With solid fundamentals and technicals aligned, the PEPE price looks well-placed to continue rising.
Is PEPE’s Rally Sustainable or a Flash in the Pan?
But how long can the bullish momentum be sustained?
Cautionary signals include data from Lookonchain, which showed that one major PEPE whale cashed out a $3.49 million position yesterday on Binance.
This suggests that large holders may believe PEPE is at its peak and are looking to lock in profits while they can.
Additionally, as a meme coin, PEPE lacks the real-world utility that underpins sustainable crypto rallies.
When coins like Bitcoin (BTC) and Ethereum (ETH) rally, it’s usually because of technological advances or increased adoption.
In contrast, PEPE’s rise has been fueled mainly by hype and speculation rather than fundamentals.
Without material improvements to developments or partnerships, PEPE may struggle to transition to a crypto asset with lasting investor demand.
Ultimately, while the current frenzy could last in the short term, for PEPE to avoid crashing once the hype dies down, the developers need to focus on building new use cases for the coin.
New use cases would provide a clear reason for investors to continue holding – even when the buzz evaporates.
Meme Kombat Prepares for First Exchange Listing After Presale Hits $10m Target
While PEPE’s future hangs in the balance, another meme-powered project is attracting attention – Meme Kombat.
This blockchain-gaming project combines the viral power of memes with a competitive play-to-earn (P2E) experience.
With exchange listings imminent following a wildly successful presale phase, which raised $10 million, Meme Kombat looks to be gearing up for a fruitful few weeks ahead.
Unlike PEPE, Meme Kombat has a clear roadmap, which includes NFT integration, new seasons for the battle arena, and partnerships with influencers.
The project also has a built-in staking protocol for MK, offering yields as high as 93% per year.
Additionally, the development team is fully doxxed and led by founder Matt Whiteman, who has years of experience in the Web3 space.
As a fully-fledged gaming ecosystem with meme coin branding, Meme Kombat offers a more substantial investment opportunity than no-utility tokens like PEPE.
With exchange listings now just days away, investors have one final chance to buy MK tokens at the presale price of $0.279.
Due to this limited-time offer, investors are rushing to secure their spot before MK hits the open market.
