Elon Musk’s casual post about his dog sent shockwaves through meme-coin markets on Monday, with FLOKI jumping roughly 27% in minutes.
Volume surged at the same time. The overall memecoin market cap rose nearly 6% to close to $64 billion as speculative bets picked up.
Activity was heavy across spot and derivatives markets. Reports show derivatives volume spiked roughly 660% to $280 million while open interest climbed about 165% to $37 million.
That kind of move suggests many traders were not only buying the token but also opening leveraged positions. Some exchanges flagged fast order flow and a quick rise in short-term trading volumes.
The Floki project has built a large online community that watches every mention of the name closely. Messages and posts amplified Musk’s share, and that amplification helped fuel the rapid price rise.
But it wasn’t a universal buy signal; certain wallets moved to take profits during the rally. Based on on-chain snapshots, a number of large holders sold small slices as the price spiked.
Analysts and market watchers warned that heavy derivatives activity can push prices both ways. When leverage flows into a small market, moves can be magnified.
A rapid inflow of speculative money can lift prices fast, and it can also trigger sharp drops when traders unwind positions.
Several analysts suggested that gains tied to a single social post are fragile without steady buying behind them.
Liquidity varied between venues. Some smaller platforms showed deeper price swings because their order books are thin. Larger exchanges saw volume rises but less dramatic price gaps.
Based on figures, traders on decentralized platforms captured most of the early moves, while centralized venues absorbed the later orders.
Featured image from Gemini, chart from TradingView
