A crypto trader has pulled off a stunning profit play, turning a $97.7K investment into $205.7K in just 24 hours. The move came after the trader created a new wallet, spent 51.2 ETH to purchase 254.66 million Doginme ($DOGINME) tokens, and saw the price of the meme coin skyrocket over 150% following its addition to Coinbase’s roadmap.
According to Lookonchain, data reveals that the trader executed the purchase of $DOGINME tokens before the Coinbase listing announcement. The investment totalled 51.2 ETH ($97.7K), acquiring 254.66 million tokens at an average price of $0.00038676. The purchase was strategically timed, as the listing news catalyzed a sharp price increase. Following the announcement, Doginme experienced a dramatic price jump, peaking at over 150% gains. As of now, the trader’s holdings are worth $205.7K, marking an unrealized profit of $108K or a 110% return in just one day.
Coin base’s Impact: Meme Coins & $DOGINME
Coinbase’s decision to add Doginme to its roadmap significantly impacted market sentiment. Historically, Coinbase listings have driven price spikes due to increased exposure and accessibility for retail investors. This pattern, often called the “Coinbase effect,” has played out across numerous tokens in the past, leading to speculation and trading frenzies. In this case, Doginme benefited from the attention, as traders rushed to buy the token before it potentially became available for direct trading on the exchange. The news also boosted the token’s volume and liquidity, making it a hot topic in the crypto community.
Meme coins like Doginme are notorious for their volatility, attracting both high-risk traders and speculative investors looking for quick gains. The recent surge in Doginme’s price highlights the speculative nature of the crypto market, where news-driven rallies can lead to massive short-term profits. Despite the impressive gains, such trades carry inherent risks. While this trader capitalized on a well-timed move, others may not be as fortunate, as meme coins are prone to sharp corrections once the hype fades. Traders and investors should be mindful of the potential downside, as these assets can experience rapid price swings.
The price action of Doginme showcases how quickly sentiment can shift in the crypto market. With Coinbase’s roadmap listing, speculation around further exchange integrations and increased adoption could continue to drive interest. However, it remains to be seen whether Doginme can sustain its upward momentum or if profit-taking will lead to a retracement. For traders, this case serves as both an opportunity and a cautionary tale. While the potential for outsized gains is evident, the risks of entering highly speculative trades should not be ignored. As meme coins continue to capture attention, market participants should stay informed, manage risk appropriately, and recognize the role of major exchange listings in influencing price movements.
