Popcat price has risen by over 9,700% from its lowest point this year, and an analyst who accurately predicted this believes it has more room to run.
The POPCAT (POPCAT) token’s rally has pushed its market cap to over $774 million, making it the eighth largest meme coin in the industry. This performance has occurred as most meme coins outperformed major cryptocurrencies as all as other well-knonw meme coins.
It also happened amid rising demand for Solana meme coins like Dogwifhat (WIF), Book of Meme (BOME), and Bonk. This demand has transformed Solana into the biggest DEX blockchain in the world.
Cryptonary, an X page providing research and analysis tools for crypto traders, predicted that Popcat would perform well this year. In an X post, the analyst noted that he made this prediction when the token was trading at $0.04 and still believes that Popcat has more room to grow in the next three to six months.
— Cryptonary (@cryptonary) July 18, 2024Back in Dec 2023, we called $POPCAT at $0.04
This week, it smashed its all-time high, hitting $0.90
We believe the narrative is very strong here and expect substantially higher prices in the coming 3-6 months 🐱 pic.twitter.com/tUBTTYSBkB
Popcat’s future price movement will likely depend on the broader performance of the crypto market. Historically, meme coins thrive when Bitcoin is in an uptrend. Recently, Popcat and other altcoins reached multi-week highs as Bitcoin rose to $65,000.
Bitcoin to stir this rally
In another X post, the analyst mentioned that Bitcoin’s price could continue rising, potentially reaching $223,000. He cited the end of Bitcoin miner capitulation and the exponential decay model, where a quantity decreases at a rate proportional to its current value.
— Cryptonary (@cryptonary) July 17, 2024Historically, the end of Miner Capitulation periods following Bitcoin Halvings has led to significant price increases for Bitcoin in the subsequent months and year.
The Hash Ribbon metric suggests that Bitcoin bottoms out when miners capitulate due to high mining costs and/or… pic.twitter.com/6CiDVyKM7i
Bitcoin and Popcat can also rally due to expectations from the Federal Reserve. Fed chief Jerome Powell and other Fed officials have hinted at upcoming rate cuts due to the deteriorating labor market. The most recent US jobs data showed that the unemployment rate rose to 4.1% in June, the highest point since 2021.
Fed rate cuts could stimulate incremental bullish sentiment as investors shift from money market funds to riskier assets. The CNN Money fear and greed index has risen to the greed area of 57 while the crypto index is at 56.