The leading project CURTIS has fallen over 50% from its historical high. If the overall meme ecosystem is to continue developing, this cryptocurrency must first return to its historical peak.
Written by: WOO
Background: Apecoin builds Apechain to join the meme battlefield
Apecoin surged nearly 100% in a single day on October 20, as it announced the official launch of ApeChain, an Ethereum Layer 2 built using Arbitrum Orbit.
The key feature is that users can transfer specific cryptocurrencies such as APE, ETH, USDC, and other stablecoins to ApeChain to earn native yields and automatic compounding.
This can be seen as ApeChain using this model to attract liquidity, while the official launch of Pump Fun - Ape Express on ApeChain ignites on-chain FOMO sentiment.
Pump Fun has been a hit since May of this year, becoming one of the top money-making projects on-chain. Various imitation projects have emerged, but none have been able to replicate Pump Fun's successful model. Why is Ape Express receiving so much market attention this time? What are the key differences from previous imitations? Which cryptocurrencies are worth paying attention to? Finally, what data should we observe to determine whether to enter or exit ApeChain?
Let WOO X Research take you through it.
Why is ApeChain thriving?
APE token rise: The transmission of liquidity inevitably flows from easier-to-access areas to more difficult ones, just as the rise of public chain tokens can spill over to ecosystem projects. Since ecosystem projects have smaller market capitalizations, they can achieve considerable gains. The same logic applies to APE and ApeChain; the first step for ApeChain to thrive is to create demand, and APE must first rally to sustain the narrative.
Many ecosystem whales: Unlike other Pump Fun imitations, Yuga Labs series NFT holders are often on-chain whales with substantial financial resources. The NFT market has been underperforming this cycle, creating a need for new narratives to stimulate original holders to invest in related product markets.
Official support: If a meme is supported by a public chain, it may face market skepticism from a building perspective, easily labeled as merely speculative without genuine efforts. In politically correct circumstances, the likelihood of public chain projects supporting meme launch platforms is very low (except for BeraChain). Most Pump Fun imitations are built by small teams and often start cold, making it very costly for users to gain trust in terms of marketing, branding, and familiarity. Yuga Labs embraces new narratives for old projects, making the market more accepting of slightly altered imitations rather than mindlessly copying on other chains.
ApeChain meme ecosystem projects
CURTIS: The leading project, conceptualized as a guide NPC in OTHERSIDE, named CURTIS, characterized by wearing a Hawaiian shirt and a captain's hat.
Current price: 0.01318, current market cap: $13.18 million, historical market cap peak: $28 million, 24-hour trading volume: $18 million, 24-hour decline: 6%
CIF: The first meme coin on APE Express.
Current price: 0.001909, current market cap: $1.9 million, historical market cap peak: $8.5 million, 24-hour trading volume: $1.7 million, 24-hour decline: 65%
BORED: Conceptualized as the meaning of Bored in BAYC.
Current price: 0.01292, current market cap: $12.92 million, 24-hour trading volume: $1.3 million, 24-hour increase: 2.4%
Is ApeChain viable? Observe these data points
Leading token price increase: The characteristic of meme coins is to utilize the wealth effect to attract users to continuously invest funds for purchases. If the leading token's price increase is not sustained, then other meme coin projects are even more precarious.
The leading project CURTIS has fallen over 50% from its historical high. If the overall meme ecosystem is to continue developing, this cryptocurrency must first return to its historical peak.
APE trading volume: Trading volume represents investor interest in ApeChain. A sudden drop in trading volume also indicates a decrease in demand for APE. Currently, the 24-hour mainnet trading volume is $13 million. Opening the 15-minute trading volume chart, APE peaked at $1 million at 21:00 UTC+8 on 10/20, but currently, the trading volume every 15 minutes is only $50,000 to $100,000.
ApeChain capital inflow level: The price increase of on-chain meme coins depends on the inflow of funds. If the inflow slows down or even reverses, it can signal the failure of the meme ecosystem project.
Currently, ApeChain is experiencing a net outflow situation, with a turning point at 21:00 UTC+8 on 10/20, coinciding with the aforementioned trading volume time node. For players looking to participate in the ApeChain meme ecosystem, waiting for a net inflow of funds on-chain is a better choice.
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