Popcat boasts 35% surge driven by improved trader sentiment

Popcat was this week’s biggest gainer, driven by improving trader confidence and a sharp rise in futures open interest.

Popcat (POPCAT) has surged over 35% in the last seven days, reaching an all-time high of $1.26 on October 5. Most of these gains occurred in the last 24 hours. The token is up 20.6% from its intraday low of $0.98.

The Solana-based token also surged 112% last month, making it the second highest-earning cryptocurrency among the top 100 cryptocurrencies, with a market capitalization of over $1.2 billion, according to CoinGecko.

One of the key bullish arguments for Popcat is its widely distributed ownership; major shareholders control only 17% of the total supply per CoinCarp data.

The same cannot be said for their rivals such as Bonk (BONK) and Shiba Inu (SHIB), which are much more concentrated; the top 10 wallets hold 52% and 61% of the supply respectively.

This makes Popcat less vulnerable to “whale” manipulation and provides a more stable, balanced trading environment.

Bulls remain in control

Futures open interest for the coin rose 344% to $191.11 million, indicating investors were heavily positioning for further price gains.

Recent price action on the 1D POPCAT/USDT chart confirmed the strong bullish momentum by pushing the token above the upper Bollinger Band, currently located at $1,865.

But this also means that the token has reached the overbought zone. This is supported by the Commodity Channel Index rising to 222.2, well above the 100 threshold indicating overbought conditions.

POPCAT price, Bollinger Bands and CCI chart | Source: crypto.news

Although these technical signals indicate the potential for a market correction, the token’s successful retest of the upper Bollinger Band earlier today reinforces the idea that the bulls remain in control.

This may indicate continued bullish momentum in the short term, but investors still need to be careful due to overbought indicators.

Price predictions

While market observers noted that Popcat was in price discovery, trader sentiment around X was in line with the technical outlook, meaning the token could soon print new highs.

According to analyst Altcoin Sherpa, Popcat has broken a key trading range and added that as long as Bitcoin price remains stable, the uptrend could continue and potentially target the $2 mark. See below.

When a coin moves out of range, you want to see the continuation. Ofc this will depend on: $BTC but i guess $POPCAT still looks strong. Honestly wouldn’t be surprised to see it go for $2 or so pic.twitter.com/23EIHzmqsS

— Altcoin Sherpa (@AltcoinSherpa) October 5, 2024

Another observer, Murad, offered an even more bullish outlook, predicting that the meme coin could reach a price target of $5, up 300% from its current level of $1.24.

Meanwhile, another pseudonymous analyst, ‘TraderSz’, noted that POPCAT has broken through the key resistance level around $1.20 and is now heading towards the next major resistance at $1.50.

At the time of this writing, Popcat was trading at $1.24. While it remains to be seen whether the meme coin can maintain this level, CoinMarketCap’s data shows that investors are bullish on future prospects, with 69% of 4,473 votes cast and community sentiment appears optimistic.

As previously reported by Crypto.news, crypto analysis firm Cryptonary predicted that Popcat could reach a price target of $40 due to its strong community support and growing prominence in the market during the current bull run in the so-called “meme coin super cycle.” Solana ecosystem.

The name of the creator of the Popcat meme coin is not explicitly stated. The token’s popularity stems from the meme of a cat named Oatmeal chirping at a bug. The video, which featured alternating images of oatmeal with its mouth open and closed, quickly turned into a GIF.

It eventually went viral. Students from the University of Sheffield in England have created a Popcat-inspired game based on clicking on an image of Oatmeal to earn points.