Solana-based Popcat (POPCAT) has been making headlines over the past week after becoming the first cat-themed token to reach a $1 billion market cap.
The token has surged over 230% in value in the past month, pushing the coin to its all-time high (ATH). However, one cryptocurrency analyst has warned investors of a potential correction for Cats.
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POPCAT Drives Clowder
This month, Popcat has had a remarkable performance. The coin started its ascent up the charts on July 11, surpassing $900 million in market cap by July 16. On that day, the Solana-based memecoin overtook Ethereum’s MOG and became the largest cat-themed cryptocurrency by market cap.
Popcat continued its upward trajectory, reaching a market cap of $1 billion on July 20, becoming the first cat coin ever to achieve this feat. The next day, the coin hit an all-time high of $0.9939, according to CoinGecko data.
Currently, the token is the eighth largest memecoin by market cap, surpassing Cat in a dogs world (MEW) and MOG. MEW has also seen a remarkable performance in the past week, with a 98.2% increase in the past seven days.
During the second quarter, cat-themed tokens saw massive growth and crept into the top 10 meme coins list. Moreover, CoinGecko’s survey revealed that the category has become the 14thD Most popular cryptocurrencies in Q2.
Is a correction on the horizon?
Following its recent performance, some crypto analysts and investors are saying that “Popcat is looking good.” Lambo Team Charts subscriber On X that memecoin had “achieved another new breakout” earlier today.
According to the post, the token broke the downtrend line after successfully retesting the $0.84 level. If the cat-themed memecoin continues to hold above this price range, the analyst believes that a retest of the $1 resistance level is possible. Accordingly, he set an initial target of $1.08 “for a 25% overall move in the short term.”
VikingXBT, another market watcher, too. Hang on For him, Popcat’s performance after its all-time high “makes sense on the lower timeframe.” The analyst noted that the token “achieved a psychological target that a lot of people had.”
He stated that the current pullbacks and retest of old resistance are “very good.” Additionally, he suggested that investors embrace “a little patience” as the token resumes its upward trajectory.
However, not all analysts are confident about memecoin’s recent performance. On Monday, popular analyst Altcoin Sherpa shared his thoughts on X. According to the analyst, the chart “still looks good but would be concerned if it makes a lower high/shoulder.”
Sherpa believes that if that happens and Popcat starts selling, “all the cat betas will die.” However, the analyst explained that he remains optimistic for now because he believes cat-themed memecoins “will do well and catch up.”
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At the time of writing, the largest cat-themed cryptocurrency is up 12% and 27% on the daily and weekly timeframes.
Featured image from Unsplash.com, chart from TradingView.com