The price of the Solana-based meme coin PIPPIN has skyrocketed by nearly 200% over the past week, reaching a high of $0.52 and coming within 7% of its previous all-time high of $0.55. This parabolic rally appears to be almost entirely fueled by speculative trading activity in the derivatives market, rather than any fundamental project developments.
Data from CoinGlass reveals that PIPPIN futures open interest has surged to a record $217 million, a nearly fourfold increase from just a week ago. This surge in open interest alongside the price rise indicates significant new capital entering the market. Supporting the bullish sentiment, the long/short ratio has remained above 1, and the aggregated funding rate was positive at 0.0070%, showing long position holders paying fees to shorts—conditions that can sustain upward momentum.
However, the rally lacks backing from the project's official channels. The PIPPIN team's X account has been silent since August of last year, with no major announcements or developments to justify the price action. The surge is instead attributed to a spike in social media buzz and retail demand, which has increased the token's visibility and speculative buying.
From a technical perspective, PIPPIN has confirmed a rounded bottom pattern on its daily chart, which is part of a larger, multi-week cup and handle formation—a pattern often interpreted as a bullish continuation signal. Technical indicators like the supertrend flashing green and a rising MACD suggest bulls maintain control. Analysts project a potential bullish target near $0.89 if the breakout holds.
The rally occurs against a backdrop of broader market uncertainty, with Bitcoin's underperformance and investor concerns over a potential U.S. government shutdown and Federal Reserve policy direction creating macroeconomic headwinds. This raises questions about the sustainability of PIPPIN's gains, which are seen as highly dependent on continued speculative leverage rather than project fundamentals.
