Meme coins dominate despite bullish BTC week

Scopescan’s Smart Money feature reveals the entities that consistently manage to extract value through unconventional trades. In this report, we will unveil the array of actions undertaken by these astute investors over the past week, with the aim that you glean insights that may prove illuminating.

The data presented in this article is derived solely from Smart Money transactions during the period of October 19 to 26 2023. This implies that any purchases and holdings made prior to October 19 are not taken into consideration.

Smart Money’s Top Performing Tokens

Here are the tokens through which Smart Money has captured the most value this week. The tokens are ranked based on Smart Money’s profit amounts.

The biggest story this week is Bitcoin's sudden price elevation to its highest point so far in 2023. Last week, $BTC nearly broke past $30,000 following a now-deleted and disproved breaking news tweet about the U.S. SEC's supposed approval of a new Bitcoin spot ETF. This week's $BTC price rally to just below $35,000 is said to be a continuation of the spot Bitcoin ETF-related anticipation in the markets. However, other analysts say that the spike is more likely to be driven by the crypto leader's status as a safe-haven asset. But while the actual catalysts for the recent bull run are debatable, the bottom line is that $BTC's price is up by more than 100% year-to-date.

However, when discussing Smart Money trading in Web3, even a 100% increase is not enough. On a weekly basis, the hundreds of Smart Money addresses that the 0xScope team is tracking are capable of seeing returns on investment (ROIs) above 100% on several small-cap tokens, regardless of their utility (or lack thereof). This week, for instance, only Bitcoin-pegged token Wrapped Bitcoin ($WBTC) and Chainlink ($LINK) are the major cryptocurrencies that brought significant profits for the top-performing addresses being tracked for this report.

And this week, as with several other weeks, meme coins are once again the main profit sources for our Smart Money traders, with tokens such as Harrypotterobamasonic10in ($BITCOIN), Pepe ($PEPE), and Joe Coin ($JOE) delivering millions in profits. But we'll talk about them later.

The sudden spike in Bitcoin prices propelled $WBTC to the No. 3 spot in our token rankings, as the DeFi token used to represent Bitcoin delivered $1.35M in total profits for 27 Smart Money addresses. This is a pretty low number of addresses at this level, especially given that hundreds of Smart Money addresses recorded profits from the meme coins that dominated our list. Another factor that likely played into this scenario is the fairly high level of whale concentration for $WBTC holdings. A recent report revealed that 52% of all $WBTC is handled by just 10 DeFI protocols, while the token's top 100 holders own 73.76% of the supply.

Unlike the seemingly exclusive $WBTC, meme coins are more popular among Smart Money addresses. $BITCOIN, the top token in this week's rankings, contributed $1.68M in profits for 177 addresses, while $PEPE's 173 Smart Money holders cumulatively earned $1.65M, good for a second-place finish in our rankings.

Even newly made meme coins saw major action this week. $JOE (not to be confused with the same-ticker token by DEX platform Trader Joe) and HayCoin ($HAY), which launched just two weeks ago, had already logged profits worth $1.33M and $830,000, respectively, much to the delight of the 289 $JOE holders and 129 $HAY investors in our Smart Money list.

Perhaps the recently bullish outlook for Bitcoin rubbed off on the increased trading activity for these meme coins.

Smart Money Addresses to Watch This Week

Let's take a look at some of the Smart Money investors worth watching this week.

The top-performing Smart Money investor this week is 0x2e31, whose buying spree of about $1.62M in $WBTC tokens from October 19-20 at multiple price points just below $28,750 led to $335,000 in profits, including a sell-off of 13 $WBTC at close to $33,000 per token. This buy-low, sell-high behavior towards $WBTC is also seen at the address 0x3242, which earned around $101,650 from buying $WBTC at around $28,000 and then selling almost all its holdings in the Bitcoin-pegged token at around $34,000.

The Smart Money address with the second-highest profit this week at $212,200 is 0xff3c, which timed the market for surging crypto casino token Rollbit Coin ($RLB) particularly well. In a span of one week, the address built its $171,000 stash of $RLB, a big chunk of which was bought at $0.14 per token. $RLB is now priced at just below $0.20.

Meanwhile, the top beneficiary of this week's leading meme coin $BITCOIN is 0x98c7, which has been trading the token since late August, contributing to its week-long profit of $173,000. The address is also a notable holder of $PEPE tokens.

Other noteworthy Smart Money addresses this week include:

- 0x6d6e, which flipped 19 $ETH into a sizeable portfolio in meme coin HayCoin ($HAY), then sold off the tokens two days later for 82 $ETH, contributing 63 $ETH to its total profits worth just below $126,000.

- 0xc3dc, which specializes in trading several meme coins and has grown its portfolio from $100,000 to $230,000 over the past week.

- Early $HAY investor 0xf4b8, which earned $172,000 this week, mostly from selling off its $HAY holdings after accumulating them two weeks ago.

Disclaimer

This report is based on sources believed to be reliable, but we cannot guarantee its accuracy or completeness and are not liable for any losses arising from its use. It provides general information only and should not be seen as investment advice; users must make their own investment decisions.

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