PENGU, ANIME BERA: These Altcoins Crashed More Than 60% After Launch, Should You Buy?

Newly launched altcoins often receive a lot of hype, resulting in their initial price jumps. However, historical data reveals that most of these face a sell-off right after that, continuing for weeks or even months. This trend is clearly visible in three meme coins: Pudgy Penguin (PENGU), Animecoin (ANIME), and Berachain (BERA). These coins witnessed an initial influx of gains but have plummeted more than 60%. Let’s look at their performance.

PENGU, ANIME, & BERA Altcoins Dropped 60% Post Launch

A renowned crypto analyst, FFV, has an interesting finding about new crypto tokens’ performance. According to FFV’s X post, people quickly move on from altcoins that lack significant value, as has happened with the PENGU, ANIME, and BERA.

The analyst reveals that since the airdrop for Pudgy Penguin and the other two tokens were placed, their price has declined by at least 60%, showcasing a troubling trend. All these trending meme coins had different launch timelines but the same result.

The price of PENGU dropped 70% since the airdrop, the price of ANIME dropped 80% from launch, and the price of BERA dropped 60% from its peak.

The biggest challenge with crypto airdrops is that people quickly move on from assets that lack an incentive model. Most investors sell their airdropped tokens immediately after receiving them, resulting in price crashes.

How Are These Crypto Tokens Performing Today?

Ever since the recent crypto market crash in January, the majority of digital assets have struggled. This includes the Bitcoin price wreck and continued consolidation, which has stagnated the recovery for the rest of the crypto tokens as well.

Although BERA, ANIME, and PENGU are struggling with the larger picture, their performance has improved today. According to the CoinMarketCap data, BERA is new to the market and trades at $5.491 after an 8% surge in the last 24 hours.

Also, its market capitalization and trading volume are at $653.54M and $368.47M, respectively. However, despite the rising value, BERA’s price is 60% down from its ATH of $14.99, set just a week ago.

Pudgy Penguin token also witnessed increased investor interest. It is trading at $0.01076 after an 11% surge today. The demand is clearly visible, as the trading volume has surged 98% to $166.01M due to its listing on the Coinbase exchange.

The increased visibility and investor interest could fuel its recovery, overcoming the 81% drop it faced from its prime of $0.05738, set two months ago.

Lastly, the ANIME token price surged 4% today after facing a complete downtrend for a month. Although its peak is $0.1861, it has declined 82% from that, currently trading at $0.02754. The broader recovery in the meme coin sector has favored this surge.

Interestingly, the meme-themed cryptocurrency category has been struggling for an entire month. Today, the category witnessed a 5% surge in market capitalization to $72.67 billion, hinting at the possibility of recoveries for these aforementioned altcoins.

Should You Buy These Crashing Altcoins?

It is important to analyze which crypto tokens to buy amid the volatile crypto market. However, what’s more important is the price you buy. Notably, buying the dip is a standard norm in the industry, where traders buy where prices are down. However, a few other factors, like market sentiments, token utility, and upcoming updates, are important, as meme coins usually thrive on hype.

Among these three altcoins, PUDGY’s hype is thriving amid the Coinbase listing. Meanwhile, the two lack any fundamental hyped factors. More importantly, BERA is facing post-airdrop consolidation and controversy around the Berachain airdrop, so the future remains uncertain.

Traders should lead the activities cautiously and build proper trading strategies before buying these tokens.

Key Things To Remember

No cryptocurrency is entirely safe from the market’s volatility. As a result, the value of these crypto changes, but the recovery may decide their future. Some analysts consider a dip a buying opportunity, but traders should consider many other factors before randomly buying a token.

Pudgy Penguin, Berachain, and Animecoin altcoins were thriving with gains at one point but have declined 60% past then. Amid these, PENGU is still gaining attention, hinting at the possibility of better recovery, but the other two struggle with post-launch volatility.

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