A cryptocurrency whale recently profited on the volatile nature of memecoins, selling all 416.8 million $MEW tokens for 16,270 $SOL, valued at $3.94 million. This strategic trade resulted in a profit of 6,270 $SOL, or $1.52 million.
The whale had initially purchased the tokens on July 15 using a dollar-cost averaging (DCA) strategy, spending 10,000 $SOL ($2.42 million), Lookonchain reported.
MEW’s Price Actions
The $MEW token, a Solana-based memecoin officially known as “Cat in a Dog’s World (MEW),” has been making waves since its launch in late March 2024. Currently trading at $0.009535, it boasts a market cap of $846.84 million, a testament to its growing popularity and adoption.
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Resilience Amid Market Fluctuations
Despite the recent pullback in price, $MEW remains a strong contender in the memecoin market. The token hit an all-time high of $0.011 in October, reflecting its potential to attract bullish sentiment.
While it has dipped by 3.64% in the last month, technical indicators suggest the possibility of further gains. Analysts warn, however, that failure to maintain a support level of $0.0087 could result in a drop toward $0.0076.
Nonetheless, with strong bullish indicators, an upward breakout appears more likely. The resilience of $MEW and the enthusiasm around Solana-based tokens have solidified its position as a noteworthy player in the memecoin sector.
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Solana-Based Memecoins: A Profitable Venture
Solana-based memecoins like $MEW have often proved profitable for traders, particularly due to Solana’s low transaction costs and fast processing times. These factors make it an attractive blockchain for memecoin projects, allowing for rapid trading and high liquidity. The appeal lies in their ability to generate significant profits within short timeframes, as evidenced by the whale’s recent trade.
Moreover, the Solana ecosystem has been fostering innovation and attracting new users. Projects like $MEW benefit from this growing network, as traders and investors look for alternatives to Ethereum-based tokens. Memecoins, while inherently volatile, offer opportunities for significant returns for those who time the market well.
As $MEW continues to navigate the unpredictable waters of the crypto market, its community-driven approach and bullish technical signals suggest the potential for future growth. The combination of humour, hype, and profitability has made memecoins like $MEW a unique phenomenon in the crypto space.
For traders and investors, keeping a close eye on support and resistance levels will be crucial. With $MEW’s demonstrated resilience and Solana’s robust infrastructure, the token’s journey remains one to watch in the coming months.