Memecoin gained popularity and quickly became merchants’ preferred coin for rapid gains. At the same time, investors started putting their money into this new meme-coin in the hopes of making massive profits. However, the Pepe Coin frenzy has now started to die down.
Glauber Contessoto, a multimillionaire of Dogecoin, rushed to Twitter to declare that Pepe Coin is “formally dead”:
In 2021, Glauber Contessoto achieved the impressive title of Dogecoin millionaire. He has reportedly invested approximately $250,000 in DOGE. Surprisingly, within a few months, the investment has significantly ballooned. At the time of Contessoto’s purchase, Dogecoin was trading at approximately 4.5 cents. The user’s Dogecoin holdings reportedly surpassed $2 million as the cryptocurrency reached an all-time high of 73 cents.
The Dogecoin millionaire defended himself by pointing out that he correctly called the Pepe Coin high when its market cap was about $1.5 billion and asked traders to sell. Since the assertion of the extreme, Pepe Coin has continued to decline daily.
Several factors have contributed to the Dogecoin millionaire’s view that Pepe Coin is a misfire. Transactions involving whales, which have been occurring regularly for the past few weeks again, are finally beginning to taper off. Around 2.72 thousand transactions for $100k+ occurred in a single day in early May, when the excitement was at its height. Now, the number is just above the century mark.
Since then, Pepe Coin’s total value has dropped from an all-time high of $1.65 billion to between $500 and $600 million. The market cap has been rather stable for the past two weeks, as shown in the chart below.
As per on-chain data, new members have joined the group since the beginning of the month. Nonetheless, they’ve decided to go now. According to ITB data, the number of new addresses has plummeted by 43.85% over the past week, while the number of active addresses has declined by 16.66%.