The cryptocurrency market has staged an evident rebound over the past 24 hours, with Bitcoin (BTC) rising by 4% and Solana (SOL) surging by 9%.

MemeCore (M), though, has outperformed all top 100 digital assets by skyrocketing 80% in a single day. Following the rally, it has become the third-biggest meme coin and could soon overtake Shiba Inu (SHIB) if it maintains momentum.

Is the Rally Sustainable?

The meme coin is currently worth around $1.50 and has a market capitalization of just under $2 billion, making it the 40th-largest cryptocurrency (according to CoinGecko). It is important to note that the major revival comes just days after M crashed by 76% following allegations of manipulation.

Just hours ago, the team behind the meme coin addressed the issue and informed that following “a comprehensive internal and on-chain review,” it has not found anything suspicious related to the matter.

“Our review confirms:
– No issues affecting the protocol or infrastructure.
– All core systems continue to operate normally.
– No token sales were conducted by the MemeCore Foundation.
– No unusual activity has been identified regarding the Foundation’s treasury or project operations,” the announcement reads.

Perhaps this has become the primary catalyst driving M’s price higher today (July 2). Despite the evident jump, many analysts remain skeptical of the token, warning investors to be extremely cautious.

X user Suf claimed that the price climbed “not because of bullish buyers, but from the traders who shorted, being forced to buy.” For his part, CryptoBuffett said he will short M “to infinity.”

“I will DCA all the way up to $3 and beyond. My whole reputation and net worth will go into shorting this manipulative team and coin to ZERO. It’s worth ZERO; they want to rug you twice. If you’re buying, you will be REKT,” he added.

Additional Red Signals

MemeCore’s Relative Strength Index (RSI) also suggests the price might head south soon. The ratio has risen to 82, representing an extreme overbought condition, which is often a precursor of an impending pullback.

The token has been labeled a scam by numerous well-known analysts in recent months. In April, lockchain investigator ZachXBT openly questioned MemeCore’s valuation and token distribution, claiming that insiders control more than 90% of its supply.

Source: CryptoPotato