Over the past week, the cryptocurrency market has experienced little notable change, with total capitalization remaining more or less constant. Despite slight volatility throughout the week, the market has been relatively stable, with one exception: the recently trending PEPE coin.
Bitcoin is currently trading around $29K, the same as it was a week ago. The cryptocurrency briefly dipped to $27,500 midweek, but selling pressure eased, and the price recovered. The momentum is uncertain, with market participants closely watching as Bitcoin trades within the $27,000 to $30K range. A breakout in either direction is likely to determine short-term market direction. It is during such times that explosive moves often occur, making it crucial for investors to keep a close eye on the market.
Speaking of explosive moves, let’s examine PEPE. PEPE, a memecoin minted less than three weeks ago, has made headlines by skyrocketing to a multibillion-dollar market cap, generating success stories of people who have made significant profits. This newly created memecoin is now traded on all major exchanges, including Binance, and has amassed a market cap exceeding $1 billion. This places it among the top 50 coins by total market cap, raising the question of how much higher it can go. Will it compete with SHIB and DOGE? Given the unpredictable nature of the cryptocurrency market, it is anyone’s guess. Watching the market in the coming days should prove intriguing.
In other news, PEPE is this week’s standout cryptocurrency, soaring an impressive 1200% in seven days, predominantly due to Binance’s decision to list it for trading. Amid the ongoing meme craze, Ethereum’s gas fees have also surged, hitting a 12-month high as the memecoin resurgence continues. Meanwhile, Coinbase reported a $79 million net loss for the first quarter of 2024, but the results were better than initially anticipated, thanks in part to market recovery.
The newest contestant in the L1 field – SUI – experienced massive volatility minutes after its mainnet launch. The native cryptocurrency of the protocol saw a significant crash in its price. Additionally, the US Federal Reserve announced a 0.25 basis points rate hike, bringing it up to 5%, but the cryptocurrency market remained unaffected. Lastly, the Biden Administration is pushing Congress to pass a 30% tax on Bitcoin mining, titled the Digital Asset Mining Energy (DAME) excise tax.
Overall, watching the future movements of PEPE and the resolution of Bitcoin’s trading range will undoubtedly keep investors’ attention in the short term.