Through precise identification of opportunities, a cryptocurrency trader has capitalized on the ongoing market momentum to record over 1,400-fold returns on their initial investments.

The anonymous investor turned a modest $1,100 into a staggering $1.62 million within 20 days by capitalizing on the ongoing meme cryptocurrency rally, according to data shared by Lookonchain on November 17. 

The traders’ returns began with their investment in the Solana (SOL)-based meme coin Urolithin A (URO). In late October, they spent 4.35 SOL ($768) to purchase 16.44 million URO. 

Doubling down on their belief in the token, they converted all their meme coin holdings into URO. Their investment paid off, as the URO holdings are now worth $572,000, yielding a 714-fold return.

The trader also made significant gains with Rifampicin (RIF), investing 1.8 SOL ($300) to acquire 11.84 million tokens. After RIF surpassed a $100 million market cap, the trader sold 1 million tokens for 94,335 USDC, leaving 10.84 million RIF valued at $957,000. This maneuver resulted in a 3,503-fold return.

Combined, the bets on URO and RIF have netted a profit of over $1.6 million at a time when the two meme coins have experienced explosive growth. These transactions, paired against Solana, occurred on Raydium, an automated market maker (AMM).

By press time, URO was valued at $0.02939 and had a market cap of almost $30 million. On the other hand, RIF had a valuation of $0.07849 and a market cap of $78 million.

Rising meme coins’ popularity 

The growth has generally stemmed from the popularity of Solana-based meme coins and the overall bullish sentiment across the cryptocurrency market.

Meme coins have been among the market’s biggest performers in recent weeks, as highlighted by data shared by Ali Martinez. In an X post on November 16, Martinez pointed out that meme coins outperformed the market in the past week, delivering returns of 63.71%.

This momentum has been further fueled by the listing of several meme coins on the Binance crypto exchange, which exposes them to greater liquidity and visibility. 

For instance, the impact of such listings was evident with Peanut the Squirrel (PNUT), which joined the $1 billion market cap club following its Binance listing.

Interestingly, there has been a growing trend of investors earning massive profits from select meme coins in recent weeks. While some of these trades can be attributed to strategy and luck, there are speculations that some returns might be due to insider trading activity.

In such cases, certain individuals may have had prior information, such as a planned listing of a meme coin on a major exchange and accumulated tokens beforehand.

As reported by Finbold, possible insider trading incidents have been reported with meme coins such as Goatseus Maximus (GOAT) and Daddy Tate (DADDY).

Featured image via Shutterstock 

Dogecoin, which started as a joke, has long been the undisputed king of meme coins and has garnered a huge following since its creation. In a recent analysis shared on the social media platform X, crypto analyst Master Kenobi presented a compelling case for Dogecoin as a superior cryptocurrency compared to Bitcoin. 

Exceptional Historical Performance Compared To Bitcoin

Bitcoin, the world’s largest crypto asset, has outperformed every other asset in traditional finance in the last decade since its creation. However, as Master Kenobi pointed out, Dogecoin has indeed outperformed Bitcoin since its launch date. 

Master Kenobi noted that since its inception on December 8, 2013, Dogecoin has experienced a remarkable growth of approximately 883,920% up to its all-time high. In contrast, Bitcoin’s growth during the same period stands at about 17,234%. This significant outperformance underscores Dogecoin’s potential as a high-yield investment.

Unlike Bitcoin’s capped supply, DOGE employs a fixed inflation model, introducing around 5 billion new coins annually. Some might see this inflationary trend as negative for Dogecoin, but proponents of the meme coin have always emphasized that it is a needed feature. According to Kenobi, with DOGE’s total circulating supply currently above 140 billion DOGE, the annual issuance is now mostly negligible, and its effect will continue to decrease with time. Furthermore, the Dogecoin adoption rate has even far outpaced its inflation rate.

Lastly, the analyst highlighted the current low price of Dogecoin as one of its biggest advantages it has over Bitcoin. The relatively low price per DOGE unit makes it attractive to retail investors, who can acquire thousands of DOGE for the cost of a fraction of a Bitcoin. Bitcoin, on the other hand, is now being perceived more as an instrument for institutional investors due to its currently high price.

This affordability, combined with Dogecoin’s strong community and meme culture, makes it more appealing as an accessible cryptocurrency.

Current State Of Dogecoin

At the time of writing, Dogecoin is trading at approximately $0.38, with a 24-hour trading volume of $10.56 billion and a market capitalization of $55.8 billion. DOGE, which recently traded at $0.42 for the first time in two years, now finds its price correcting since October 13, having reached a low of $0.356 in the past 24 hours. 

Nonetheless, Dogecoin has maintained gains over both seven-day and 30-day periods, indicating a bullish trend. As such, the meme coin is definitely on track to end the month at a bullish close. There is also the possibility of reaching a new all-time high above $0.73 before the end of 2024. This optimism is partly fueled by the recent US presidential election, where President-elect Donald Trump has expressed a favorable stance toward cryptocurrencies.

Featured image created with Dall.E, chart from Tradingview.com

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