Popcat (POPCAT), a cat-themed token on the Solana blockchain, is one meme coin that has recently gained notable popularity. This is mainly because of its stunning 8,000% increase this year.
However, since reaching an all-time high of $0.99 a few days ago, the token’s price has dropped by 25.28%. The decline resulted in a rise in bearish sentiment, which has now changed.
Popcat Traders Display High Conviction in the Crypto
According to Santiment, an on-chain analytic platform, the Weighted Sentiment was in negative territory on July 24. But at press time, the acumen is no longer in that region and is now on the positive side.
Weighted Sentiment gauges comments about a project online. If the rating is negative, it means that there are more negative comments than positive ones.
Therefore, the recent rise proves that demand for POPCAT may soon begin to increase, and the price will be positively affected.
Read More: 11 Top Solana Meme Coins to Watch in July 2024
If sustained, the price of the meme coin may begin to erase some of its losses. Furthermore, the Funding Rate provides a closer outlook on the action traders are taking amid the recent dip.
Funding Rate is a barometer of investor expectations. If it is positive, it means that the perpetual price is trading at a premium to the spot price. In this instance, the broader trader expectation is bullish.
However, when funding is negative, the average expectation is bearish as the perp price trades at a discounted price to the index value.
At press time, POPCAT’s Funding Rate is increasing, suggesting that traders expect a bounce and are positioning for the price movement. Should funding remain positive and price rebound, the movement could be bullish for the meme coin.
If this happens, traders will get rewards for their position as long as buyers in the spot market remain aggressive.
POPCAT Price Prediction: The Trip to $1 Is Set to Resume
As of this writing, POPCAT has become one of the top Solana meme coins and trades at $0.75. As mentioned earlier, this is a decline from its height on July 21. However, according to DEX tracker GeckoTerminal, market participants are taking advantage of the dip and buying more of the meme coin.
Should the cryptocurrency continue to experience a surge in buying pressure, the price may rebound. Furthermore, pseudonymous analyst Altcoin Sherpa shared his view on the meme coin on July 24.
According to him, the trending narrative around cat-themed tokens could help POPCAT print toward higher values.
“I think looks decent still, but I would be concerned if this prints a lower high/shoulder. If this happens and Popcat sells off, all cat beta will die. Still bullish for now and still think cat memes will do pretty well and play catch-up.” He shared on X.
On the daily chart, the Moving Average Convergence Divergence (MACD) remains positive, implying that the momentum is bullish. Thus, this increases the chance of a price upswing. If sustained, POPCAT’s price could return to $0.84, possibly increasing to $1.
Read More: Popcat (POPCAT) Price Prediction 2024/2025/2030
However, this prediction will be invalid if the cryptocurrency holders continue to book profits from the recent hike. If this happens, the price may drop to $0.70.
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