Popcat, a top Solana meme coin, has staged a strong comeback as investors bought the dip and exchange reserves dropped.
Popcat (POPCAT) rose for four consecutive days, reaching a high of $0.25, its highest level since March 25. It has jumped by almos 100% from its lowest level this month.
The jump happened as crypto investors bought the dip in some specific Solana (SOL) meme coins like Fartcoin (FARTCOIN), Goatseus Maximus, Fartboy, and Vine.
Nansen data shows that more investors are moving their Popcat tokens from exchanges to self-custody. Exchange balances have dropped by almost 10% in the last seven days to 239.5 million, down from 262 million the same day last week. Most of these outflows were from Bybit, Raydium, and Coinbase.
The weekly supply of Popcat tokens on exchanges dropped by 2.3% to 24%. Falling exchange reserves is a bullish sign, signaling that more investors are taking a long-term view of the coin and are not dumping their tokens.
More data shows that the most profitable Popcat traders in the last seven days are not selling. The top trader has made a profit of $173,000 and still holds 97% of his position. The chart below shows that many of these traders still hold their tokens.
Popcat price analysis
The daily chart shows that the Popcat price has bounced back in the past few days. This rebound happened after the token formed a falling wedge pattern, which is shown in blue. This pattern is made up of two descending and converging trendlines.
The Popcat token has moved slightly above the 50-day moving average, while the Relative Strength Index and other oscillators have pointed upward.
Therefore, the coin will likely keep rising as bulls target the 23.6% retracement level at $0.5982, up 142% from the current level.
