Solana’s meme coin MOODENG soared over 90% to trade at USD 0.65 after Coinbase announced its listing plans. Other meme coins such as GOAT and PNUT also experienced small price increases following the announcement. MOODENG is highly speculative and faces limited liquidity, with OKX having a market depth of only USD 81,000.
Moo Deng (MOODENG), a new meme coin on the Solana blockchain, surged more than 90% in value shortly after Coinbase announced plans to list the asset.
According to CoinGecko, MOODENG is currently trading at around US$0.65 (AU$1), registering an increase of 90.6% in the past 24 hours.
Related: XRP hits 7-year high nearing $2.50 mark, surpasses SOL, USDT in market cap
MOODENG weekly chart, source: CoinGecko.
Coinbase’s listing had a ripple effect across the memecoin ecosystem. Tokens like GOAT rose 9% in price, while PNUT rose 6% in just 10 minutes after the listing announcement.
High risk meme coin
MOODENG was inspired by the popular hippopotamus at a zoo in Thailand. Basically like other Solana meme coins, it is highly volatile and has no intrinsic value. It only depends on your speculative desires. Such rapid price movements are further exacerbated by limited liquidity, which can amplify both profits and losses.
Liquidity is an issue for MOODENG. On OKX, the most liquid trading platform for this token, market depth is limited to just over US$81,000 (US$126,086) with rest orders within a 2% price range to the top. This limited liquidity can cause rapid price fluctuations and complicate large trades.
Words like illiquidity and high risk are not enough to stop corrupt meme coin traders. A few months ago, an anonymous trader with a Solana wallet address starting with 'Db3P' turned US$800 (AU$1,235) into a stomach-churning US$7.5 million (AU$11.58 million). Keep this in mind the next time you go to work.
The transaction took place on September 10, just four hours after the token was launched. By Friday, blockchain data confirmed that the value of traders' holdings had skyrocketed due to the rapid rise in the token's price.
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Naturally, it caused controversy. Was it an inside job? Are traders just incredibly lucky? Whatever it is, the timing and staggering profits leave more questions than answers (which it probably was for the developers anyway).
