- Pepe (PEPE), an Ethereum-based memecoin, surged 27% to a new all-time high, buoyed by speculation of imminent U.S. spot Ether ETF approvals.
- Ether itself has seen a significant rise, increasing 23.28% in two days, fueled by optimism over the same ETF developments.
- Pepe’s open interest on futures contracts rose 40%, signaling strong trader confidence in continued price growth.
The Ethereum-based memecoin, Pepe (PEPE), has reached a new all-time high, climbing 27% in the past 24 hours amid market speculation surrounding the potential approval of spot Ether exchange-traded funds (ETFs) in the United States. The surge reflects broader market enthusiasm as Ether also posted significant gains, up 23.28% to $3,785 over the same period.
Driving Factors Behind Pepe’s Surge
Crypto trader Matthew Hyland voiced on X that Pepe is “probably the best memecoin play for the ETH ETF,” highlighting the speculative link between the memecoin’s surge and the potential ETF approvals. The general sentiment is echoed by pseudonymous trader Kaleo, who noted the hindsight obviousness of Pepe’s and Ether’s movements.
The U.S. Securities and Exchange Commission (SEC) is reportedly moving toward approving spot Ether ETFs by a May 23 deadline, surprising many analysts and industry observers. This development has injected a renewed vigor into related crypto assets, particularly Ethereum and Ethereum-based tokens like Pepe.
Market Dynamics and Trader Sentiment
Pepe’s recent price movements have not only attracted attention but also significantly increased trading activities. According to CoinGlass, Pepe’s open interest — the total value of outstanding futures contracts — has risen by 40% to $172.96 million. This uptick is indicative of a growing confidence among traders about Pepe’s future price trajectory.
Crypto trader Plazma suggested on X that Pepe’s price discovery is likely to continue in the coming weeks, albeit with expected normal volatility. “We will be at 2x-3x in just a few weeks,” they predicted.
Broader Impact on Memecoin Sector
Pepe’s performance has outpaced other top memecoins in terms of price growth over the past 24 hours. However, significant gains were also recorded by other major players in the memecoin market: Bonk (BONK) rose by 40.80%, Floki (FLOKI) by 21.94%, and Book of Memes (BOME) by 25.04%.
