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Key Takeaways
- Ogle warns that just two or three large holders selling can collapse thinly traded meme coins, especially those also listed on leveraged perpetual futures.
- CASHCAT surged over 3,200% to a $226 million market cap before crashing roughly 60% after a Hyperliquid perpetual futures contract launched, liquidating about 90% of longs.
- Ogle said his largest long-term gains have come from utility tokens like Solana, Bitcoin, and Ethereum rather than short-term meme bets.
Long-time crypto trader Ogle warned on July 13 that small meme coins with thin liquidity can collapse within minutes if just a handful of large holders decide to sell. He pointed to recent volatility around CASHCAT, the meme coin built on Robinhood Chain, as a live example of the risk.
Why a Few Wallets Can Move the Whole Market
In a post on X, Ogle said many traders are sitting on unrealized gains worth hundreds of thousands or millions of dollars in fast-moving tokens. He argued that if even two or three of them decided to sell, it could trigger a sharp price drop, particularly in smaller meme coins with limited liquidity. He wrote:
“When a ton of people have made hundreds of $k or $m in a token, unrealized, in this type of market, it only takes 2-3 of them to sell (if the token is small, especially a meme with little liquidity) for everything to collapse quickly.”
Ogle said the risk compounds when a token is also listed on perpetual futures exchanges, where traders can borrow funds to take on leveraged positions that amplify both gains and losses.
How CASHCAT Caught Fire
CASHCAT takes its name from “Cash Cat,” an internal nickname Robinhood co-founders Vlad Tenev and Baiju Bhatt reportedly used before settling on the Robinhood brand. The connection resurfaced after Robinhood Chain, an Arbitrum-based layer-2 network, went live on July 1. On July 7, Tenev posted on X that while the chain is built for real-world assets, “it works great for memes too,” and began following the token’s account, a gesture the market read as tacit encouragement even though Robinhood has issued no formal statement endorsing the project.
CASHCAT’s own website describes it as “fan fiction with a ticker” with “zero utility,” built by anonymous developers unaffiliated with Robinhood. The token has come to dominate meme trading on the new chain, accounting for roughly three-quarters of trading volume among the top 25 tokens on Robinhood Chain, according to on-chain dashboard data. Copycat tokens with identical names have since appeared on other blockchains, and impersonator accounts have circulated on social media, underscoring the kind of verification risk Ogle’s warning points to.
CASHCAT’s Rapid Rise and Sharp Reversal
CASHCAT, a meme coin built on Robinhood Chain, the Ethereum layer-2 network Robinhood launched on July 1, surged more than 3,200% over the past week. The token briefly pushed its market capitalization to around $226 million when it touched an all-time high near $0.23, according to CoinGecko data.
According to Lookonchain, the rally minted several large winners. One trader spent about $838 to buy 15 million CASHCAT tokens and later sold for a profit exceeding $1 million, though holding a few more days would have brought the position to nearly $2.9 million. A second trader turned a roughly $69 purchase into $711, a tenfold return that would have grown to about $2.7 million with additional patience.
The token’s fortunes reversed sharply after a perpetual futures contract for CASHCAT launched on Hyperliquid. CoinGecko data shows the token’s price crashed by approximately 60%, with roughly 90% of long positions on the exchange liquidated, adding to the selling pressure, according to CoinGecko data. The coin has since recovered part of its losses, trading just below $0.16, still down more than 18% over 24 hours and over 30% below its peak.
Utility Tokens vs. Short-Term Meme Bets
Ogle, who serves as an advisor to the Trump family-backed World Liberty Financial, said in the same post that while meme coins can generate fast returns, his largest gains over time have come from utility-focused assets. He named Solana, BNB, Ethereum, Litecoin and Bitcoin as examples.
He described those as slower plays that require patience, adding that many traders lose interest and exit before such assets deliver their larger returns.
