Popcat Surges 12.89% as Whales Accumulate 43.57% More

Popcat, a memecoin, experienced a significant surge, rising by 12.89% to reach a monthly high of $0.41 before retracing to $0.39. Concurrently, whales increased their holdings by 43.57%, reaching $634.09 million. This surge in whale activity reflects a growing interest and on-chain activity within the memecoin community.

The rally in Popcat can be attributed to the aggressive buying by whales. After initially driving the memecoin out of consolidation, whales returned to push for another leg up. According to Nansen, top holders increased their positions by 43.57%, holding 64.67% of the total supply. This indicates a strong conviction among large entities in the market. Whales bought 3.76 million tokens while offloading 2.64 million, resulting in a positive Balance Change of 1.21 million tokens. A positive balance change typically signifies that whales are aggressively accumulating, further confirming market conviction.

Exchanges also recorded more outflows than inflows as whales reduced their exchange activity. This trend further supports the notion of aggressive accumulation by whales. According to Coinalyze, the Long/Short Ratio surged to 2.361, with long positions accounting for 70.85% and short positions accounting for 29.15% of the total positions. This dominance of long positions suggests that investors are actively betting on continued price increases, indicating strong market conviction among futures participants.

Despite the aggressive accumulation by whales, small-scale investors are closing their positions. According to Coinalyze, Popcat has recorded three consecutive days of a negative Buy-Sell Delta. On July 14th, the memecoin saw 8.37 million in Sell Volume compared to 8.10 million in Buy Volume, resulting in a negative Buy-Sell Delta of -266k. This pattern has been observed since July 11th, indicating that retailers are cashing out aggressively.

According to AMBCrypto’s analysis, Popcat recorded significant gains amid aggressive whale accumulation. For the uptrend to hold, whales must continue accumulating at the same pace. In such a scenario, demand from large entities could push Popcat towards $0.45. However, if retailers exiting the market increase pressure while whale momentum fades, a correction is inevitable. Increased profit-taking from retailers could push Popcat down towards the $0.35 support level.