The popularity of the PEPE meme token is gaining momentum

The hype around the PEPE token launched a couple of weeks ago continues to gain momentum. We understand what is happening with the price of the cryptocurrency that appeared thanks to the meme of the same name about Pepe the Frog, and whether it is worth succumbing to memcoin fever.

What is PEPE cryptocurrency

The PEPE token was created based on the famous Pepe frog meme, which first appeared in 2005 in Matt Fury’s Boys Club comic and later became a symbol of support for former US President Donald Trump. Like other mem coins, it has no fundamental value and grows in value only due to the interest of the community members.

According to the official website of the project, the total supply of PEPE is 420,690,000,000,000,000 tokens. Coins are distributed among various stakeholders – developers, early investors and users. 93.1% of PEPE is sent to the liquidity pool, while the remaining 6.9% is reserved for future listings. They are stored in a developer’s multisig wallet, easily traceable by the ENS name pepecexwallet.eth.

According to blockchain explorer EtherscanPEPE currently has around 79,000 holders, and a handful of addresses — excluding centralized exchanges — hold more than $5 million worth of tokens.

Which exchanges supported memcoin

Despite the skepticism of some members of the crypto community, exchanges are actively listing PEPE. However, this is not surprising: the other day, memcoin ranked 17th in terms of trading volume in 24 hours and broke into the top 125 in terms of market capitalization.

At the time of writing, the token has already been listed on a dozen centralized and decentralized trading platforms – Uniswap, OKX, MEXC, Gate.io, Huobi, Poloniex and Bitget and others. Some exchanges, including BitMEX, allow traders to trade the ultra-volatile active with up to 50x leverage.

The giants of the crypto market Binance and Coinbase have not yet supported PEPE. However, Changpeng Zhao already hintedthat the exchange will list the token if investor demand for it is consistently high. Representatives of Coinbase have not yet commented on this possibility.

Is it worth buying PEPE

Investing in memcoins comes with high risks. The price of mem coins primarily depends on how many people talk about them online. In addition, they are extremely vulnerable to price manipulation.

PEPE is no exception: while the memcoin hype is growing day by day, early adopters are already cashing out. One trader, for example, temporarily collapsed the price of the asset by almost 50% by selling $678,000 worth of tokens. Another user got rid of $2 million worth of PEPE – however, having lost $350,000 in process due to price slippage during the MetaMask swap.

At the moment, PEPE’s price action is a lot like Dogecoin. The strong market volatility of an asset is primarily caused by a lack of liquidity or sustained demand. This means that as the hype around memcoin falls, its quotes will begin to decline sharply. The token may also face more selling pressure as more traders try to capitalize on the current trend and sell coins as close to the peak price as possible.

However, if the Pepe the Frog-inspired token holds the attention of investors, it will have a chance to join the few memcoins that have taken a strong place in the crypto market.

However, crypto enthusiasts should keep in mind that PEPE is an extremely volatile asset, and the decision to add it to a portfolio comes with high risks. Always remember to follow risk and money management, allocate a small part of the capital to volatile tokens and trade only with the money that you can afford to lose.