It’s been a few days since the Robinhood Chain’s launch, and its memecoins are exploding. A top-performing token is Cash Cat [CASHCAT], which is up 17% in the past 24 hours.
Cash Cat leads Robinhood’s memecoin frenzy
Immediately after launch, CASHCAT surged from a market cap of $10 million to $100 million in a few hours. Another Robinhood meme was HOODIE, which also had a sizeable market cap.
The Solana [SOL] ecosystem was drained of the liquidity used to drive these memecoins. However, some analysts suggest it could return to SOL if Robinhood’s memecoin frenzy is over.
Two factors have further accelerated this daily surge. One factor is the listing on Binance Wallet Perpetuals with up to 10x leverage. The listing increased speculative trading of the memecoin.
Additionally, whales seemed not to stop their accumulation process. As per Lookonchain, a whale rotated 519 ETH worth $925K to buy 6.12 million CASHCAT. The buying activity was done in five transactions.
Additionally, a smart trader loaded more than $1 million in CASHCAT on HyperliquidX [HYPE] with five transactions averaging $141K.
Another two wallets were accumulating simultaneously over the past two days, as per StalkChain. That is, 550.8K CASHCAT, worth $88.7K, was bought at an average market cap of $161 million.
The other accumulated 471.7K tokens worth $89.1K at an average market cap of $188.84 million. In total, both wallets bought over 1 million tokens worth $177.8K.
Can CASHCAT keep going?
As whales continue to accumulate CASHCAT, the memecoin is breaking above a bullish flag. The bullish flag, a correction pattern, came following a three-day surge that pushed it to a new high of $0.2323.
However, the momentum indicators are showing mixed sentiments. For instance, the Chaikin Money Flow (CMF) is flat but stays above the neutral level. This suggests capital inflows are positive but are quiet at the moment.
Additionally, the MACD indicates bulls are in control, though their strength appears to be reducing. This situation is due to the ongoing price consolidation below the $0.20 zone.
That said, if CASHCAT can stay above $0.16 or at extreme levels above $0.14, the breakout may hold. Otherwise, the pattern breakout may be invalidated, curtailing further price appreciation.
Therefore, the short-term price outlook remains bullish unless bears force the memecoin to stay below $0.14.
Final Summary
- CASHCAT rallies 17% as it leads Robinhood’s memecoin frenzy, having surpassed a market cap of $100 million in just a few days.
- CASHCAT broke out of a bull flag pattern, suggesting a potential continuation of the uptrend unless the price trades below $0.14.
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