As reported, traders have used meme coins as a proxy bet on Ethereum’s growth since late February.
$PEPE Leads Meme Coin Rally as Ether Nears $4K. @Plan-B Crypto Expert Team 👆
Meme coins like PEPE, SHIB, and DOGE have surged as much as 26% in the past 24 hours due to a “spillover effect” from the growth of Bitcoin and Ethereum.
Traders have been using meme coins as a proxy bet on Ethereum’s growth since late February, and the bullish demand for ETH has been increasing since mid-January due to expectations of a spot ETF approval in the U.S.
Pepecoin (PEPE), shiba inu (SHIB) and dogecoin (DOGE) jumped as much as 26% in the past 24 hours as ether (ETH) inched towards $4,000, a level it previously saw in December 2021.
PEPE jumped 26% on renewed optimism, while DOGE and SHIB reversed Thursday’s losses to rise 10%. The meme coin category tracked on CoinGecko showed an 8.6% sector growth on average,
“Investors will take advantage of bullish conditions as much as possible, and meme coins are one way for them to do so. In the short-mid term, I expect a transition back to ‘fundamentally driven’ altcoins,” Heil cautioned.
Bullish demand for ether started to increase in mid-January amid expectations that it would be the next major token after bitcoin (BTC) to get a spot exchange-traded fund (ETF) in the U.S.
