PIPPIN token plunges 67% in a week

Note: not investment advice!

The Solana-based memecoin PIPPIN SOL $94.20 Binance-Peg SOL 0.48% Market capitalization $0.1 billion VOL. 24 hours $0.2 billion has plummeted after a period of rapid growth when it outperformed major cryptocurrencies amid a weak market. Over the past week, the token has lost 67%, and over 25% in just one day. This drop wiped out about $ 290 million in market capitalization and dropped PIPPIN out of the top ten largest memecoins.

The market research notes that there was no clear trigger for the collapse. At the same time, technical indicators showed negative dynamics: The MACD moved into the bearish zone, and the Relative Strength Index dropped below 30, indicating strong price weakness.

Analysts paid attention to the open interest: it increased by 12% over the past 24 hours. The combination of a price drop and an increase in open interest usually means that traders are actively opening new short positions, meaning that they are betting on a further decline in the value of the asset.

Crypto analyst Ali Martinez recalled his prediction in late February when he warned of a possible sell-off in PIPPIN. He called the current drop a confirmation of this scenario. At the time of publication, the token was trading at $ 0.1293.

PIPPIN was created as a viral AI unicorn image by Yohei Nakajima, also known as the developer of the autonomous AI agent BabyAGI. The popularity on social media quickly turned the token into an experiment with integration into the X environment. However, the current collapse has shown that even after a high-profile growth, such assets remain extremely vulnerable to a sharp change in market sentiment.

No Worries strongly advises readers not to invest in dubious crypto projects and little-known digital assets!