Key Highlights
- PONS has surged 4,773.6% in one month, rising from $0.019 to about $0.9375.
- Uniswap Labs bought PONS, but the amount paid and number of tokens purchased were not disclosed.
- Pons is seeing strong activity, with about $4 billion in total trading volume and more than 10,000 tokens launched daily.
PONS token is up 4583.3% and now close to $1 in just one month of trading after climbing from a low at $0.019, according to data from Coingecko, as of September 5.
The token is currently trading for $0.9375 at 3:46 PM UTC, this surge has pumped its market capitalization to around $675.55 million in value with a total supply of $712.105 million and total circulating supply of the same amount.
PONS price breaks higher
Pons launched on July 13 and released its V2 contracts on August 3. The token currently trades on Robinhood Chain under the contract address “0x39dbed3a2bd333467115de45665cc57f813c4571”.
The chart from CoinGecko shows that the rally initially started on August 23 after price picked up and broke the key resistance level at $0.06. This pushed the token further up but then got stuck in consolidation between $0.1434, and $0.1015 from August 25 to August 29 before breaking out and pushing further up.
This pattern continued until September, when price found new momentum which pushed it closed to $1.
Why is PONS memecoin surging?
A major spark around PONS came when Uniswap Labs bought the token. Pons announced the purchase on Thursday at 5:24 p.m. ET, saying Uniswap Labs “has purchased $PONS for long-term alignment.” Pons said the move deepened its partnership with Uniswap.
The announcement quickly gained attention, receiving more than 200,000 views on X in less than two hours on the day.
However, there are still important details missing about the deal. Pons and Uniswap Labs have not said how many PONS tokens were bought, how much was paid, when the purchase happened or which wallet now holds the tokens.
Pons also did not say whether Uniswap Labs bought the tokens directly from the market or received them through an allocation. Uniswap Labs has not released a separate statement about the purchase.
Pons fees rise above Pump.fun
Aside from that, Pons has been growing quickly as a memecoin launchpad. Data from DeFiLlama shows that the platform made $9.01 million in fees over the past 24 hours, $39.97 million in seven days and $55.44 million over 30 days.
Pons has also been making more daily fees than Solana-based Pump.fun since August 29. On August 31 alone, Pons collected $4.89 million in fees. Its total platform trading volume has reached about $4 billion, while more than 10,000 tokens are being launched through the platform each day.
The way Pons shares its fees helps explain why the platform has attracted so much activity. It charges a 1% fee on trades involving tokens launched through Pons.
About 70% of that fee goes to the creators of those tokens, while the remaining 30% goes to the protocol. Creators have earned more than $25 million in total fees.
Robinhood Chain removes gas fees
Robinhood Chain has also played a role in making this activity possible. The network is an Arbitrum Orbit Layer 2 chain and started a 90-day gas waiver on July 1. Under the waiver, users do not pay network transaction fees until around September 29.
That means traders can buy and sell memecoins on the chain without paying the usual gas cost. For people making many trades, even small fees can add up. With those costs removed, Pons users only face the platform’s 1% trading fee.
The gas waiver is expected to end on September 29. After that, users will have to start paying network fees again, creating a new test for Pons after its rapid growth during the free-transaction period.
PONS price approaches an overbought level
The chart on the lower time frame via TradingView shows that the token is still bullish with price breaking through a lower resistance level at $0.77.
However, the Relative Streight index (RSI) is currently at 72.38 which means price is approaching an overbought level, which is often a level where traders take out some profit or it enters into its usual of consolidating before pushing forward again.
Also Read: Uniswap Fees on Robinhood Chain Push Daily UNI Burns Past $1 Million
