Pepe, the memecoin based on comic artist Matt Furie’s viral frog character, is surging after a prominent crypto influencer predicted that the token will skyrocket to 40 times its current value over the coming year.

The much-hyped memecoin, which has no affiliation to Furie, launched in April 2023. Less than a month later, it surpassed a $1 billion market value, and by December the following year hit an all-time high of almost $11 billion.

On Thursday James Wynn, a pseudonymous crypto trader who made a name for himself betting on Pepe shortly after its launch, called for the token to rally from $1.7 billion to $69 billion in 2026.

Since Wynn’s post, Pepe has rallied more than 34%.

The prediction comes as the memecoin trades at its lowest value in almost two years, down 79% from its all-time high.

Memecoins, tokens based on memes, online jokes, or famous people, have little inherent value, trade almost solely on trader sentiment, and are characterised by extreme volatility.

Many once-popular tokens, such as US President Donald Trump’s memecoin and the Shiba Inu-themed Dogecoin, have fallen sharply in value over the past year, and show little sign of recovery.

Aggressive bets

Wynn is notorious in crypto trading circles for his aggressive, high-risk trading style.

He frequently bets more than $100 million on crypto price movements via perpetual futures exchanges like Hyperliquid, often using extremely high leverage to juice his profits — and exacerbate his losses.

Wynn claims to have made $100 million in 70 days through this strategy.

But he’s also suffered some spectacular losses.

In May last year, Wynn held a $1 billion notional long position betting on Bitcoin’s price increasing. Although this trade generated an unrealised profit of around $100 million, Wynn didn’t cash out, and those gains evaporated shortly after as Bitcoin’s price fell.

How much money Wynn has put on the line betting on Pepe this time isn’t clear.