A dog-themed memecoin is surging after the enigmatic return of Keith Gill, also known as “Roaring Kitty,” the individual credited with sparking the GameStop short squeeze.
After an over two-month hiatus, Gill returned to social media with a cryptic X post depicting Solana-based memecoin Chewy (CHWY). Gill shared the below image in a Sept. 6 X post:
Roaring Kitty, Chewy post. Source: Roaring Kitty
Following the cryptic post, Chewy’s price rallied nearly 28% against Solana (SOL), to trade above $0.011, according to CoinMarketCap data.
CHWY/SOL, 1-h chart. Source: CoinMarketCap
Memecoins like Chewy have no underlying technical utility and rally mainly on social sentiment. Even indirect X posts from the likes of Gill can be seen as a strong endorsement for memecoin traders, who aren’t trading based on fundamental or technical analysis.
Earlier in July, Gill revealed a 6.6% ownership in the online retailer of pet food and other pet-related products, Chewy — which likely inspired the creation of multiple Chewy-related meme tokens.
Related: Roaring Kitty’s $300M GME position sparks market manipulation claims
Is Roaring Kitty dropping or endorsing Chewy?
Despite the Chewy token’s near 30% rally, Gill’s cryptic post seems to suggest that he is dropping the Chewy company, not endorsing it.
The image shared by Gill is from the movie Toy Story and shows the scene where Andy drops his favorite toy, Woody. In Gill’s latest post on X, Woody has been replaced by the Chewy token logo.
This may indicate that Gill is hinting at his departure from his role at Chewy. He initially shared an image related to Chewy in a post on X on June 27.
Chewy post. Source: Roaring Kitty
When the first GameStop short squeeze occurred in 2021, GME stock surged by over 1,000% in just a month. This is one reason why memecoin traders are closely monitoring Gill's social media activity.
Related: Citron no longer short on GME, cites ‘market’s irrationality’
What about GameStop?
Gill’s X post could also suggest a potential GameStop resurgence.
Shortly after Gill’s X post was published, an unknown investor bought $2 million worth of GameStop (GME) shares, noted market tracker Unusual Whales in a Sept. 6 X post.
GME $2 million buy. Source: Unusual Whales
At the end of June, a GameStop investor sued Gill over alleged securities fraud. The lawsuit was dropped after just three days.
The initial lawsuit alleged that Gill had committed securities fraud by failing to inform his followers and other GameStop investors that he planned to sell some 120,000 call options before their June 21 expiration date.
Magazine: Roaring Kitty’s GME shares hit $1B, BTC open interest soars, and other news: Hodler’s Digest, June 2-8