How the Peanut Squirrel Meme Coin Reached a $130 Million Market Cap
Solana-based Meme Coin Peanuts (PNUT) has soared to $130 million in market capitalization in just three days.
The increase came after Tesla CEO Elon Musk's comments on the sudden passing of the iconic Squirrel sparked consternation among traders. This unexpected attention has caused PNUT's price and market value to rise to unprecedented levels. Take a closer look at how it unfolded.
Elon Musk's response drives massive meme coin buying.
Three days ago, Peanut the Squirrel's caretaker, Mark Long, revealed that the New York Department of Environmental Conservation (NYS DEC) had taken the animal from him. Longo, in a post on his social media platform, also mentioned that the agency has taken down a raccoon that has been reduced to snoring.
Later, more details emerged about Aminal's death while in agency custody.
The development sparked outrage on social media, with Elon Musk condemning the agency's actions. A US Congressman criticized the NYSD DEC's role in the animal's disappearance in a now-deleted post.
“Government is a mindless and heartless killing machine.” Musk has spoken about it.
After this moment meme coin traders popularly called “degenerates” started buying PNUT meme coin in droves. According to smart money platform GMGN, some of those first batch of buyers put in thousands of dollars, accelerating the token's upward movement.
Read more: How to Buy Solana Meme Coins: A Step-by-Step Guide
PNUT's market cap rises, falls amid profit-taking
After widespread media coverage of the Peanut Squirrel's death, whalers began buying the meme coin in droves.
For example, Lookonchain data shows that one whale sold 5,100 Solana tokens to earn approximately 8.99 million PNUT, which is worth $839,207.
At the same time these whalers bought the first defendant RACCON (FRED). As the whales poured in, retail investors followed suit, creating massive buying pressure that pushed PNUT's market cap above $130 million.
Meanwhile, strong buying pressure ensured that the Squirrel price of Peanut reached a record high of $0.14. The transaction volume around Solana Meme Coin also exceeded $300 million at one point.
However, according to Gecko Terminal, Pnut's market value has dropped to $93.98 million. On the other hand, the price of meme coin has dropped to $0.094 due to the profits made by early buyers.
Read more: 11 Top Solana Meme Coins to See in November 2024
Additionally, if the price of the PNUT meme coin rebounds, it could surpass another animal-themed meme coin, MOODENG, whose market cap is about $151 million at the time of writing.
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