- Meme currency based on Tron Within days, SUNDOG’s value increased 100 times, from $0.002 to $0.20.
- With Justin Sun’s support, SUNDOG gains momentum and challenges Solana’s hegemony in meme coins.
- Given the possibility of profit-taking that could drive the price down to $0.17, SUNDOG is overbought.
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The Tron blockchain has given rise to a meme coin called Sundog (SUNDOG), which has surprised the cryptocurrency industry. A few days ago, its market capitalization was $2 million; today, it is $200 million.
The popularity of meme coins continues to surpass those introduced on Solana, driven by significant investments and outspoken backing from Justin Sun, the founder of Tron.
Sun Leads Tron Meme Coin Mania on the Front Row
Following Justin Sun’s announcement of SunPump, SUNDOG gained popularity among dealers of cryptocurrency meme coins. SumPump, a comparable token generator based on Solana, appears to have absorbed a sizable portion of pump.fun’s market share since its inception.
Early on in the platform launch, there were concerns that the excitement would swiftly wear off. That doesn’t seem to be the case, though, as the wealthy blockchain founder hinted that SUNDOG would become the first Tron meme coin valued at $1 billion.
SUNDOG is currently trading at $0.20 on CoinGecko, a 131% rise in value in the previous day. This identical value was $0.0020 only a few days ago, meaning that it has increased by 100 times in a short period of time.
Moreover, the remarkable ascent of the meme coin has prompted parallels with dogwifhat (WIF). BeInCrypto’s research indicates that many comments on X express the belief that the meme currency can repeat WIF’s ascent to a billion-dollar market capitalization.
To make that happen, the Tron flagship meme coin may need to absorb part of the liquidity enjoyed by Solana meme coins. Some SUNDOG owners, nevertheless, think it’s not impossible.
In the meantime, SunPump has seen a sharp increase in the number of token launches thanks to Sundog’s outstanding performance. Less than six thousand meme coins were available on Tron as of August 18. Since then, Dune Analytics claims the figure has increased to 13,815.
If the rise keeps up, Solana’s pump may release more liquidity.enjoyable to SunPump. This might therefore lead to an increase in the market demand for SUNDOG and TRX.
SUNDOG Price Forecast: Overbought Meme Coin
The hourly chart below demonstrates how SUNDOG’s price has declined from its $0.22 peak. The indication that the Tron meme coin was overbought may have caused this drop.
For instance, the token’s price was tapped at $0.21 by the volatility-measuring Bollinger Bands (BB). When a cryptocurrency’s price is touched by the upper band, it usually indicates overbought conditions. On the other hand, it indicates that the asset has been oversold when the lower band is hit.
There was a pullback of the meme currency during this period of increased volatility. This prediction is further validated by the Relative Strength Index (RSI). The RSI calculates momentum and finds oversold and overbought situations.
An asset is overbought if the RSI reading is above 70.00, and it is oversold if it is below 30.00. The SUNDOG RSI first hit 78.20 on the chart below, indicating an overbought condition that prompted a price pullback.
The token may also experience a rise in profit-taking. The price may fall to $0.17 or $0.14 if this occurs. The price can, however, rebound and retesting $0.22 if purchasing pressure increases.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
