KEYTAKEAWAYS
- Ethereum-based meme coins PEPE and MOG experience significant price increases following Ether ETF approvals in the U.S.
- Uniswap Foundation holds substantial funds and faces potential enforcement action from the SEC.
- BTC shows bullish signs but caution is advised, while FLOKI is expected to continue its upward trend.
CONTENT
In the Crypto Pre-drink, we serve up a daily shot of the hottest crypto news and market insights to fuel your investment decisions.
ETHEREUM MEME COINS SURGE FOLLOWING ETHER ETF APPROVALS
Two Ethereum-based tokens, PEPE and MOG, saw significant price increases following the approval of Ether exchange-traded fund (ETF) filings in the U.S. Traders are treating these tokens as high-risk, high-reward bets linked to Ether’s performance.
PEPE, a frog-themed token, and MOG, a cat-themed token, jumped 11% and 45% respectively in the past 24 hours. This surge coincided with a nearly 5% rise in Ether’s price, contrasting with a 1% drop in Bitcoin. PEPE trading volumes soared to over $1.8 billion, far above its usual $400-600 million range.
Futures data revealed a sharp increase in open interest for both tokens, indicating fresh capital entering the market. PEPE’s open interest climbed from $550 million to $720 million, while MOG’s rose from $5 million to $8.3 million. Despite this, the long-to-short ratio for PEPE showed that 54% of traders were betting against further price rises.
UNISWAP FOUNDATION FINANCIALS AND UPCOMING VOTE
The Uniswap Foundation revealed it holds $41.41 million in fiat and stablecoins, and 730,000 UNI tokens. These funds are allocated for grants, operational costs, and employee compensation.
Uniswap token holders will vote on a new fee mechanism that could shift rewards from liquidity providers to token holders. Early polls suggest the proposal will pass. If approved, control of the UniswapV3Factory will transfer to a new contract, with a second vote required to activate the new fee distribution plan.
The Uniswap Foundation is preparing for potential enforcement action from the U.S. Securities and Exchange Commission (SEC). The SEC issued a Wells notice, indicating possible future action, alleging that UNI and LP tokens are investment contracts violating securities laws. Uniswap disputes these claims, arguing that LP tokens are merely bookkeeping devices and do not meet the SEC’s definition of an exchange.
CRYPTO TRADING INSIGHT
BTC: While bullish divergence is present, it doesn’t guarantee a price increase. The $65,800 area is crucial for liquidity, trendline support, and multiple moving averages convergence. The 1-hour chart shows a double bottom pattern, bottom divergence, and an EMA20 breakout, indicating a strong bullish trend. Stop-losses around $68,200 are recommended for long positions.
FLOKI: FLOKI’s price has surged to new highs and is likely to continue its upward trend, followed by minor corrections near these levels. Given the upward trend, an initial target of $0.00033 seems reasonable.
