In a story that sounds ripped from the pages of the Guinness World Records book, an anonymous investor managed to turn a mere $3,000 stake in the meme coin PEPE into a life-changing $46.3 million profit in just a month.

This astonishing 15,718x return on investment was made possible by PEPE’s meteoric rise to new all-time highs this week.

A Trip to Overnight Riches: The PEPE Trade Explained

According to on-chain data from LookOnChain, the trader behind this achievement initially purchased 4.9 trillion PEPE tokens on April 15th, 2024 for just $2,966 by swapping various cryptocurrencies like Timeless (LIT), Ethereum (ETH), and 500 USDC.

https://Twitter.com/lookonchain/status/1790632009867591866

However, as the price of the Ethereum-based meme token began rising over the following weeks, this investor’s modest $3K investment swiftly ballooned and was turned into an entire fortune.

PEPE reached a new all-time high of $0.00001156 on May 14th, causing the 4.9 trillion token position to be worth over $56.6 million at its peak.

The trader has already cashed out over $9.7 million worth of PEPE to this point. This includes selling two tranches of the meme coin as follows:

  • 255 billion PEPE for $2.3 million.
  • 41 trillion PEPE for $7.4 million

Even after these sizable sales, the whale still retains a staggering 3.5 trillion PEPE balance currently valued at around $38.9 million.

Roaring Kitty’s Appearance Prompts Meme Coin Rally

The latest performance of PEPE and the immense profits reaped by this trader are remarkable. Although they may have been the result of sheer luck, there is one catalyst that may have kicked off the speculative meme coin mania that pushed PEPE to fresh all-time highs.

On May 13th, the investor known as “Roaring Kitty” – who played a central role in igniting the 2021 GameStop short squeeze mania – reappeared on the social media platform known as X (formerly Twitter) after three years of total silence.

Roaring Kitty attracted the attention of thousands of investors by publishing a cryptic image interpreted by many as a signal that he is once again focused on what is happening in the markets.

The social media post immediately triggered a buying frenzy across various meme-related assets and popular meme stocks.

For example, GameStop (GME) and AMC Entertainment both soared by over 100% just hours after Keith Gill, the man behind the pseudonym Roaring Kitty, came back. But that wasn’t all. Meme coins like PEPE, Dogecoin (DOGE), and Shiba Inu (SHIB) all posted double-digit percentage gains too.

The timing of this meme asset euphoria directly coincided with PEPE claiming a new all-time high.

Analysts have speculated that a portion of the profits from the GameStop rally were poured by speculators into the tokens that can turn into “the next big thing” in the meme space.

Can Roaring Kitty be behind this millionaire crypto investment? That’s quite a far-fetched theory but Gill is already famous for pulling off one of the most profitable trades of recent history with his involvement in the GameStop saga.

A Perfectly-Timed Entrance Raises Eyebrows Among Crypto Community

The trader’s impeccable timing in acquiring 4.9 trillion PEPE tokens just a month before they skyrocketed is undeniably impressive. However, it also raises eyebrows regarding potential insider knowledge.

However, PEPE has gained significant popularity in crypto circles and it has already been embraced by top centralized exchanges like Binance, Coinbase, OKX, Bybit, and Bitget. These exchanges add millions of dollars in liquidity to the token and make it available and accessible to millions of traders across the globe who can speculate on its future price and performance.

pepe reaches all-time highs following roaring kitty's return
PEPE (PEPE) price chart – Source: CoinMarketCap

Data from CoinMarketCap shows that PEPE has already become the 3rd largest meme coin with a market capitalization of $4.2 billion. Although its value is still quite far from the $14.6 billion valuation exhibited by Shiba Inu and the $21.9 billion market cap of Dogecoin (DOGE), the ascent of PEPE to become part of the elite group of billionaire meme coins has been lightning fast.

The crypto analyst Hao Yang, head of financial products at Bybit Exchange, told Blockonomi that the success of meme coins like PEPE can be viewed as “a symptom of disillusionment among young investors who’ve watched opportunities once afforded to their parents disappear.”

The excitement of being able to accumulate prestige and wealth and “beat the system” by taking advantage of a rather absurd phenomenon like the meme coin hype has captured the imaginations of many as they seek a new path to riches.

Can FLOKI Follow PEPE to All-Time Highs? This Announcement Could Catalyze a Rally

While PEPE has unquestionably been the biggest meme coin success story of 2024 thus far, the question on many investors’ minds is which token could be the next to produce life-changing gains.

FLOKI could be a serious alternative to consider as the token has posted remarkable 35% gains in the past 30 days. Even though it has lagged PEPE’s 100% monthly surge to new all-time highs, this token has been around for longer and has progressively developed a loyal community of fans.

Moreover, the FLOKI development team announced on May 13th their intention to burn (permanently remove from circulation) over 15 billion FLOKI tokens.

While this 15 billion burn is relatively small compared to FLOKI’s colossal 9.5 trillion total supply, it does represent a symbolic gesture by the developing team of their commitment to increase the token’s scarcity to make it more valuable and rare.

Historically, FLOKI has witnessed positive price action following previous token burn events. On March 9th, the project removed 190 billion FLOKI from circulation and the token’s parice managed to hit new yearly highs within five days.

It is impossible to tell if FLOKI will see the kind of performance that PEPE and other meme coins have experienced in the past few weeks. However, the token burn could ultimately be the catalyst that this dog-themed token needs to reach a fresh all-time high.

Is an Altcoin Supercycle About to Kick Off?

PEPE has been making headlines in crypto for quite a while now and this trader’s amazing feat of turning $3,000 into life-changing wealth fits perfectly with the immense frenzy that has been sweeping the meme coin space lately.

Other investors may rapidly think that they can be next in line to turn pennies into golden bars and it is possible of course. However, the risks associated with trading highly speculative assets like these tokens – all of which carry no practical value and produce no cash flows – should not be ignored.

For some, this level of hype is indicative that a new altcoin season has just started. Usually, this indicates a time when investors are eager to identify and pour money into non-traditional projects following a major rally in the most well-established cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH).

Just a few years ago, metaverse tokens and the most appealing meme coins at the time, like Dogecoin and Shiba Inu were among the biggest winners of the previous altcoin supercycle.

Is PEPE already exhausted its fuel or can it continue to rally until it lands on the top spot of the meme coin rankings? Only time will tell.