Degen price surges after Coinbase listing, but gains could be brief

As a seasoned analyst with over two decades of experience in the financial markets, I’ve seen my fair share of pump-and-dump schemes and market mania. However, the recent surge of Degen on Base Blockchain has piqued my interest. The parabolic rise following its listing on Coinbase is reminiscent of the wild west days of cryptocurrency trading, where a token’s value can skyrocket overnight due to hype and speculation.


On October 2nd, Degen, the second largest meme token built on the BSC (Binance Smart Chain), experienced a dramatic surge in value, making it the top-performing cryptocurrency that day.

DEGEN saw a significant increase, climbing more than 128% to reach $0.012 – its highest point since June 16. This remarkable rise represents a 300% jump from its September low. The spike occurred following its addition to Coinbase, the leading cryptocurrency exchange in the USA.

Hey GM Degens! Exciting news – $DEGEN is now being listed on Coinbase Spot trading, making it our 4th Base token! This ride’s been thrilling, and there’s a lot more to come. A big shoutout to the Degen and Base family for sticking with us through thick and thin. Let’s keep moving forward and build something amazing together!— Degen 🎩 (@degentokenbase) October 1, 2024

It’s common for cryptocurrencies to experience a surge in value after they are listed on prominent exchanges such as Coinbase, Binance, Bybit, and OKX. This increase is typically due to increased enthusiasm among traders and growing anticipation that the coin will become more accessible to a larger number of investors.

Yet, these stock listings that boost prices due to exchange activity often don’t last long, particularly when the overall market outlook isn’t positive.

Alongside the surge of investors known as ‘smart money’, Degen leaped. Notably, activity on centralized trading platforms decreased, with a 9% drop in volume down to approximately 3.65 billion. Interestingly, data from Nansen reveals that this is the highest number of smart money holders since July 21, totaling 80.

Degen price surges after Coinbase listing, but gains could be brief

Degen has significantly expanded its influence within the meme coin sector, as its market value soared to approximately $175 million. At present, it ranks second among tokens on the Base network, trailing only Brett (BRETT) whose market cap exceeds a staggering $843 million.

In the recent weeks, many popular meme coins have shown impressive growth. For instance, Mister Miggles has increased by 17% within the last seven days, while mfercoin, Basenji, and Keyboard Cat have surged more than 10%. Notably, all these meme coins in the ecosystem carry a market cap of over $1.3 billion each.

Their strong performance has helped propel Base into one of the largest layer-2 networks in the industry. Data by DeFi Llama shows that the volume in its DEX networks has risen by 16% in the past seven days to over $4.2 billion. 

Degen price popped

Degen price surges after Coinbase listing, but gains could be brief

The price of Degen token increased following the formation of a double-bottom pattern at approximately $0.0028. This upward movement took it beyond the pattern’s resistance level at around $0.005570, marking its highest point in both September and August.

Degen’s leap surpassed the 50-day moving average, and oscillators are indicating an uptrend. Consequently, it seems probable that some of these gains may be reversed as the post-listing energy subsides. If this occurs, a key level to focus on will be approximately $0.0055.

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2024-10-02 16:21