Pangolin (PNG), Aerodrome (AERO) price short squeeze intensifies

Pangolin (PNG) and Aerodrome (AERO) crypto prices continued surging on Tuesday as the short-squeeze in the crypto industry rose. PNG has defied gravity lately, rising in the past seven straight days. It has moved from this month’s low of $0.069 to a high of $0.8500, a 1,095% increase.

Meanwhile, Aerodrome’s AERO token price soared to a record high of $0.2300, which was about 212% above its lowest level this year. 

The two tokens have jumped in a high-volume environment. Data by CoinGecko shows that the volume of Aerodrome rose to over $6.2 million in the past 24 hours. This is a major move since the network has a total market cap of over $18 million.

Pangolin’s volume, on the other hand, has risen to over $38 million in the past 24 hours. It has averaged over $20 million in the past few days, a remarkable increase since it was averaging less than $500k before the current rally.

It is unclear why these two small-cap cryptocurrencies have surged in the past few days since they have not made any headlines. 

The most likely reason is that this is just a short squeeze now that cryptocurrency prices are soaring, with Bitcoin sitting comfortably above $57,000. Also, the crypto fear and greed index has moved to the greed point.

A close similarity between Aerodrome and Pangolin is that the two are among the most trending coins in the crypto industry. They are trending in social media platforms like StockTwits and Reddit. Also, they are among the most searched in CoinMarketCap and CoinGecko.

This performance reminds me of the recent price action of other small cap stocks like MicroCloud Hologram, Bit Brother, Mullen Automotive, and Canoo. These stocks have gone through several short squeezes in the past few months. Despite their small sizes, their shares have been among the most traded in Wall Street.

The other possible reason why AERO and PNG prices are rising is that they are decentralised finance (DeFi) platforms. Aerodrome is the biggest DeFi platform in the Base ecosystem while Pangolin is a player in the Flare and Hedera platforms. Therefore, the performance is likely because of last week’s Uniswap news that will see UNI holders get rewarded. These platforms will likely also follow that trend.

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