The surge comes soon after popular digital asset analyst KALEO speculated that the token’s market capitalization could “easily” reach $10 billion during the next bull cycle.
Renowned dog-themed meme coin Floki Inu (FLOKI) has recently outperformed its peers, witnessing a remarkable 30% price surge to reach a new all-time high of $0.0003462. This surge has propelled FLOKI’s market capitalization past the $3.1 billion mark for the first time, surpassing notable altcoins such as Stellar (XLM), Cronos (CRO), and Monero (XMR).
FLOKI has also experienced a sharp spike in its trading volume, moving up by more than 130% in the last 24 hours. According to data by CoinMarketCap, it stands as the 37th largest cryptocurrency and the fifth largest in the meme coin sector, trailing behind Solana-based dogewifhat (WIF), which holds a market cap of around $3.4 billion.
The surge comes soon after popular digital asset analyst KALEO speculated that the token’s market capitalization could “easily” reach $10 billion during the next bull cycle. He believes that FLOKI will follow a similar upward trajectory as PEPE. He states:
“FLOKI does look a lot like PEPE did before its last move higher. It has a similar narrative as well – PEPE being a high ETH beta meme play, FLOKI being a high BNB beta meme play. When PEPE did the same from here, it didn’t stop sending.”
Factors behind FLOKI’s Rally
Meanwhile, the broader cryptocurrency market has experienced greenery today, with major cryptocurrencies showing big gains. While Bitcoin (BTC) has crossed the $71,000 mark for the first time in two weeks, Binance Coin (BNB) hit a new all-time high of over $715.
Though this overall bullish sentiment has certainly played a role in FLOKI’s recent performance, a combination of several other factors has created a perfect storm. One key driver is the recent announcement that the number of FLOKI holders on the BNB Chain has surpassed 417,400. This growing holder base solidifies its position as the dominant meme coin on the blockchain and reflects strong community support.
Another significant factor is Web3 investment firm DWF Labs’ recent commitment to purchase $12 million worth of FLOKI tokens. This investment has generated considerable excitement in the community, especially with an anticipated announcement scheduled for June 10.
DWF Lab initially partnered with FLOKI in May 2023 with a $5 million investment. Earlier this year, the investment firm doubled down on its commitment, acquiring an additional $10 million worth of FLOKI tokens.
Moreover, Floki DAO, the decentralized autonomous organization governing the meme coin, recently made a strategic decision to destroy over 15 billion FLOKI tokens. The move was approved by an overwhelming majority of 99.84%. With this, the team aims to reduce the circulating supply, thereby increasing scarcity and potentially boosting the token’s value over time.
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