- CASHCAT climbed 718% in a single day to a $68 million market cap, driving activity to Robinhood’s week-old Layer 2 chain in the process.
- Lookonchain flagged one wallet that turned $838 into more than $1 million on the trade, a 1,253x return in about 20 days.
- Research cited in prior Cryptopolitan reporting found 82% of meme tokens with 100%+ returns were inflated by wash trading, and the average hold time is under two minutes.
CASHCAT, a meme token that operates on Robinhood’s newly introduced Layer 2 blockchain, has grown by more than 718% in just 24 hours, resulting in a market capitalization of well over $68 million, according to real-time trading data collated by CoinMarketCap DexScan on July 8.
This growth is another indication that the speculative nature of meme coin trading is once again causing traders and trading volume to migrate to the token that has the greatest momentum.
In terms of importance to the wider market, tokens such as CASHCAT are more valuable for the effects they produce rather than for their size in the market. Meme trading is known to increase network activity and fees, as seen from the report by Cryptopolitan which noted significant increases in Solana’s active addresses and BNB Chain trading volume recently. CASHCAT has also been able to increase network activity and trading volume on Robinhood Chain the on-chain finance and real-world-assets network that Robinhood launched on July 1.
CASHCAT also has a historical significance as it served initially as a mascot for Robinhood in the early stages of being a US stock trading app which means this news provides the token with an origin story that traders can feel connected with.
From $45 million to $68 million in hours
The increase in value happened quickly. Earlier that same day, and according to KuCoin’s reporting on GMGN statistics, it became clear that the total market capitalization of CASHCAT had crossed the mark of $45 million, increasing by over 370% within the last 24 hours. Only few hours later, this total reached $68 million with a percentage of increase of over 718% according to BlockBeats observations.
Additionally, based on CoinMarketCap DEX’s data, the price of the token stabilized near $0.08365 with a price increase of 962.81% since the tracking first started with a liquidity volume of about $2.6 million. CoinMarketCap provides information that this token is not verified, while its social media channels are marked third-party.
The gains have produced the kind of trader windfall that fuels these cycles. Blockchain tracker Lookonchain flagged a wallet ending in 0xDE4C that turned $838 into over $1 million. The trader bought 15.04 million CASHCAT tokens about 20 days ago. They sold 13.5 million for a profit of about $917,600. The remaining 1.5 million tokens are worth about $133,700 at current prices. Lookonchain calculated the return at roughly 1,253 times the original investment.
The buzz is highly contagious on social media. “I got in at $4K market cap,” tweeted @saracrypto_eth on July 8 as he thinks he can make up to $10 million from a $1,000 investment.
Another user @CryptoMonarch22 said on the platform that CASHCAT would outperform $Ansem, one of the cryptocurrencies responsible for the surge of Solana’s tokens recently.
Why the surge cuts both ways
The same factors contributing to the loud nature of these transactions are at the same time responsible for their fragility, and there already have been enough examples available in the market.
According to the research mentioned in Cryptopolitan’s article, over 82% of different meme tokens that showed returns higher than 100% of those on Ethereum, BNB Chain, Solana, and Base were artificially inflated due to wash trading or liquidity-pool manipulation, while the average holding time of a meme token is around 100 seconds.
BlockBeats also published the information concerning CASHCAT’s flash, stating that meme coins usually do not have any genuine value and their prices change quickly.
The crucial factor for the readers while determining the significance of the information provided is not necessarily the current price of the token in the market, but rather whether or not there will be any developments regarding Robinhood Chain after the flash trading phase of CASHCAT comes to an end.
Historical trends regarding meme cycles on Solana and BNB chain have shown that although the on chain volumes were rising rapidly, they would soon decline at the same pace once the hype is over and therefore it becomes necessary for an L2 platform to find way in the market.
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FAQs
What is CASHCAT and why is it surging?
CASHCAT is a meme token on Robinhood Chain that was Robinhood's early stock-app mascot before the app was renamed; it surged more than 718% in 24 hours to a market cap above $68 million on July 8, according to BlockBeats citing GMGN data.
What is Robinhood Chain?
Robinhood Chain is a Layer 2 blockchain Robinhood launched on July 1, focused on on-chain finance and real-world assets, and it is the network where CASHCAT trades.
How much have CASHCAT traders made?
Lookonchain reported that one wallet turned an $838 purchase of 15.04 million CASHCAT into more than $1 million, selling 13.5 million tokens for $917,600 while still holding about $133,700 worth, a return of roughly 1,253 times.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.
Micah Abiodun
Micah Abiodun makes good use of his Environmental Engineering and Management (MSc) at Tallinn University of Technology (TalTech) to polish content and price prediction news at Cryptopolitan. Now on his 7th year in the crypto media space, he covers major cryptos, altcoins, DeFi, stablecoins, macro trends, and emerging tech.
