Arthur Hayes, co-founder and former CEO of the cryptocurrency trading platform BitMEX, has recently made headlines with significant investments in the memecoin sector, particularly through his notable purchase of Pepe (PEPE). 

Hayes’ optimism towards memecoins, expressed in a recent social media post on X (formerly Twitter), has coincided with a significant surge in PEPE’s value, reflecting a broader resurgence in interest within the crypto market.

PEPE Price Soars Following Hayes’ Investment

On-chain analytics platform Lookonchain revealed that Hayes invested $250,000 in PEPE by purchasing approximately 24.39 billion tokens on Binance on Friday. This investment comes as PEPE is experiencing a notable upward trajectory, reaching its highest price in nearly three months at $0.0000109. 

CoinGecko data shows that the token has recorded impressive gains of 34%, 45%, and 38% over the past week, two weeks, and month, respectively. The recent price movements of PEPE are further supported by a substantial increase in trading volume, which surged by 41% in the last 48 hours to nearly $2.5 billion.

Related Reading

This uptick in trading activity is indicative of heightened investor interest, likely fueled by a bullish sentiment following the US Federal Reserve’s decision to cut interest rates on September 18, which has provided a favorable environment for various cryptocurrencies, including the memecoin sector.

Currently trading at $0.0000107, PEPE is up 17% in the latest trading hours. However, it remains down 37% from its all-time high of $0.0000171 reached in May. Despite this decline, Hayes’s endorsement appears to be a catalyst for continued investor interest.

Support For Mog Coin And The Mother Iggy Token

Hayes’s involvement in the memecoin space extends beyond PEPE. He has also shown support for two other tokens: Mog Coin (MOG) and the Mother Iggy (MOTHER) token, associated with Australian singer Iggy Azalea and built on the Solana blockchain. 

While Lookonchain has not confirmed whether Hayes invested in these tokens as he did with PEPE, his endorsement has already positively impacted MOG’s price, which is currently trading at $0.00000165—a gain of over 10% following Hayes’s announcement.

MOG has recorded a colossal year-to-date surge of 10,398%, alongside a 5.70% increase in trading volume. Despite these gains, it remains 32% below its peak of $0.0000024 reached in July.

Related Reading

Conversely, the MOTHER token has struggled to maintain momentum, trading down nearly 14% in the past 24 hours. However, it has seen substantial gains of 75% over the last week and 176% in the past two weeks, signaling that it remains an asset of interest despite recent volatility.

Overall, Haye’s support for the memecoin sector shows the traction that this part of the market has gained over the past year in particular, outperforming the largest cryptocurrencies on the market by a clear margin.

Featured image from DALL-E, chart from TradingView.com 

BeInCrypto’s comprehensive Europe Crypto Roundup covers the latest news and trends shaping the continent’s crypto landscape. With reporters across key markets like Germany, France, and the UK, we provide in-depth insights into evolving regulatory environment, adoption rates, major industry events, and market movements. 

This week’s roundup covers Societe Generale’s partnership with Bitpanda, Kraken’s acquisition of a Dutch broker to boost its European expansion, and other major stories.

Dutch Regulator Warns of Crypto Pump-and-Dump Risks 

The Dutch Authority for the Financial Markets (AFM) has issued a warning about the dangers of cryptocurrency pump-and-dump schemes, just ahead of new European Union regulations under the Markets in Crypto-Assets Regulation (MiCA). MiCA, which will come into effect on December 30, will explicitly ban crypto market manipulation tactics schemes across the Europe.

According to an official press release, the AFM will oversee the enforcement of these new rules in the Netherlands. The regulator has investigated several pump-and-dump schemes and plans to enforce strict measures once MiCA takes full effect.

A pump-and-dump scheme involves artificially inflating the price of a cryptocurrency by spreading misleading or exaggerated information. Promoters typically buy the asset at a low price, generate hype to attract public investment, and then sell their holdings at the inflated price.

Read more: What Is Markets in Crypto-Assets (MiCA)?

Hanzo van Beusekom, a member of the AFM’s executive board, highlighted that pump-and-dump schemes “undermine trust” in the crypto market, which is “essential for the long-term potential of digital assets.”

Societe Generale Forge Partners with Bitpanda for Euro Stablecoin

Global banking giant Societe Generale has teamed up with Bitpanda to expand the role of stablecoins in the financial system. The partnership focuses on promoting Societe Generale’s euro-denominated stablecoin, EUR CoinVertible (EURCV), through its blockchain subsidiary, Societe Generale-FORGE.

Bitpanda will help drive mainstream adoption of the EURCV, which will play a key role in the European crypto industry. According to Lukas Enzersdorfer-Konrad, Deputy CEO of Bitpanda, euro-based stablecoins will be critical for integrating traditional finance with digital assets.

“Fully regulated stablecoins are the bridge that will make it possible. We will work with Societe Generale-FORGE to bring that future one step closer,” he stated.

Stablecoins act as the primary link between fiat currencies and the world of cryptocurrencies. Providing investors with access to regulated stablecoins is a crucial step for attracting more investment into the crypto market.

Societe Generale’s EURCV stablecoin will be compliant with the MiCA regulations and will be listed on Bitpanda’s trading platform. As of 2023, Societe Generale ranks as the world’s 19th largest banking group, managing over $1.7 trillion in total assets.

Assetera Launches Secondary Tokenized Real-World Asset Market on Polygon

Assetera, Europe’s first regulated blockchain-based secondary market for tokenized real-world assets (RWAs), is set to launch on Polygon. Regulated by the Austrian Financial Market Authority, Assetera will use its own smart contracts on the Polygon blockchain.

The platform will cater to retail, professional, and institutional clients, offering tokenized financial instruments such as securities, money market instruments, fund units, and derivatives. In addition, Assetera will provide tokenized RWAs like real estate and art.

All trading will be conducted directly on the Polygon network, using stablecoins for purchase, clearing, and settlement via atomic swaps. The platform will operate 24/7 without manual intervention.

Read more: How To Invest in Real-World Crypto Assets (RWA)?

Assetera will support both custodial and non-custodial wallets, with plans to introduce bank-managed wallets. The platform has partnered with Sumsub, Chainalysis, and Fireblocks to ensure Anti-Money Laundering (AML) compliance.

Kraken Acquires Dutch Broker BCM to Boost European Expansion

Kraken has acquired Coin Meester (BCM), one of the Netherlands’ oldest registered crypto brokers, as part of its ongoing push to expand across Europe. This acquisition strengthens Kraken’s presence in the Dutch market and enhances its ability to operate with a registered Virtual Asset Service Provider (VASP) license in France and Poland.

Brian Grahan, Kraken’s managing director for Europe, highlighted the importance of the acquisition in a September 24 announcement.

“The completion of the BCM acquisition is a key milestone in our European expansion, allowing us to leverage our strong footprint and market-leading position in euro volume and liquidity to significantly grow our market share in the years ahead,” he stated.

Kraken has ramped up its European expansion over the last two years, preparing for the upcoming regulatory framework. The exchange can now offer regulated VASP services directly or through partnerships in several countries, including Germany, Spain, Italy, Belgium, Ireland, France, Poland, and the Netherlands.

After recently breaching the $65,000 mark, Bitcoin’s (BTC) price may have hit a brick wall. While this recent price increase indicates strong bullish momentum, historical patterns suggest that BTC could pull back before the rally continues.

This on-chain analysis highlights the indicators affirming this forecast and what investors should expect in the near term.

On-Chain Metrics Reveals It’s Time to Take a Break

Bitcoin’s price rise to $65,497 is contrary to the expectations investors had at the beginning of September when most predicted it would be a bearish month. However, according to the price Daily Active Addresses (DAA) divergence, BTC could drop before making any attempt to retest $70,000.

The price DAA checks whether user engagement increases with a coin’s value. When the price increases alongside active addresses, it is a buy signal, and the cryptocurrency’s value can increase.

At press time, Bitcoin’s price DAA had plummeted to -54.89%. This decline indicates that market participants have reduced their interaction with the coin. As such, the recent uptrend might be weak, as this is a sell signal.

Read more: How To Get Paid in Bitcoin (BTC): Everything You Need To Know

Furthermore, the coin’s performance has impacted holders’ profitability. On September 16, 79.92% of Bitcoin holders were in the money. However, based on the Historical In/Out of Money (HIOM), which compares addresses making money at different price ranges, 91.97% are now in the money.

Historically, when the ratio hit such levels, some holders take profits, leading Bitcoin’s price to decrease. For instance, a similar thing happened in July when the holders in profits were about 93%. 

A few days later, it declined to 78%. Another scenario took place on August 25 when the percentage was 88.35%, and the decline in Bitcoin price later led to 76.23%. Therefore, if history rhymes with the current condition, BTC could be set for a short-term drawdown. 

BTC Price Prediction: $60,000 Coming

While the price is expected to produce a positive return, the daily chart shows that Bitcoin’s attempt to reach $69,000 has encountered an obstruction. This indicates that bears are trying to overthrow bullish dominance.

If the price drops below $65,000, the $65,838 region will be a major resistance zone. However, buyers will likely try to defend BTC from going below support at $63,093. The chart below shows that this potential defense could fail.

Read more: 7 Best Crypto Exchanges in the USA for Bitcoin (BTC) Trading

As such, Bitcoin’s price could decrease to $60,348 within a few days. On the other hand, a close above $65,838 will tilt the trend in bulls’ favor. In that scenario, Bitcoin might jump to $68,236.