Meme coins outpace Bitcoin Cash in leverage, with Pepe and Dogwifhat leading.
Pepecoin (PEPE) and Dogwifhat (WIF) have emerged as the leaders in leverage usage within the altcoin sector, a recent report by Kaiko shows. The open interest to market cap ratio, a key indicator of leverage, shows that these meme coins have ratios twice that of other altcoins. This suggests that price discovery for these tokens is heavily concentrated in perpetual futures markets.
PEPE and WIF registered stellar upward movements of 510% and 1,880% this year, respectively. Moreover, they are amongst the 40 largest altcoins by market cap, which is a major feat. For comparison, WIF and PEPE are bigger than every Ethereum layer-2 blockchain’s native token, except Polygon’s MATIC.
Despite major altcoins fighting to show a positive performance in the last seven days, PEPE and WIF are up 21% and 28% at the time of writing, respectively. Boomer (BOOMER) and Gigachad (GIGA) are the top gainers in this period, rising 121% and 96%.
As reported by Crypto Briefing, country-themed coins are also exhibiting significant returns recently, as the Olympic Games in Paris inch closer. The USA meme coin reached its all-time high on May 4, with a 74,000% since its launch.
Moreover, Filecoin (FIL), which experienced a surge after integrating with Solana, ranks third in leverage use, followed by Bitcoin Cash (BCH).