When the word “meme” comes to mind, it’s easy to imagine shareable, funny content. However, another context that memes are becoming known for are meme coins price. Those who have been getting deep into cryptocurrency would be familiar with the dog-themed meme coins SHIB and Dogecoin.
Key Takeaways:
- Market Volatility: Meme coins like Dogecoin have shown significant price volatility, highlighting the unpredictable nature of these investments. These digital assets react sharply to social media trends and celebrity endorsements, making their market movements erratic.
- Influence of New Entrants: The introduction of new meme coins can disrupt market dynamics, as seen with the emergence of Shiba Inu, which has captured significant attention and investment.
- Impact on Traditional Cryptocurrencies: The popularity of meme coins can affect traditional cryptocurrencies by shifting investor focus and potentially diluting investment across more assets.
- Investor Sentiment: The whimsical nature of meme coins often drives investment based more on community and social media influence than on fundamental value, impacting their stability and long-term viability.
Cryptocurrency has been a hot trend for quite some time. But the advent of demand and more players in the market seems to have been contributing to the slow decline in value. In a most recent forecast, Dogecoin experienced a 5.2% decline in just 24 hours, putting it at $0.065 in terms of trade value, as per Decrypt.co‘s report.
This is quite a volatile movement as far as meme coins price goes, since Dogecoin just launched and enjoyed a momentary surge in value as the leading meme coin. But it appears that it was based on the misunderstanding that Dogecoin is affiliated with Dogechain. The latter is involved with an EVM-compatibility to the Dogecoin network, which makes app-creation even easier. But since this affiliation was denied by the president of Dogecoin Foundation Jens Wiechers, the rise in value went down by 12.4%.
Are Meme Coins Valuable?
Dogecoin is one of two powerful and strong titans in the cryptocurrency industry, the other being ApeCoin. It’s also considered as the original meme coin, as it has already been in the industry since 2013. Dogecoin, sometimes known as DOGE, was created by Billy Markus and Jackson Palmer, engineers who were supposed to target Bitcoin for fun but instead birthed a game changer.
Despite the volatile movements in crypto, Dogecoin retains its position with many followers. To date, the creators have even reportedly released various updates to ensure that the coin will remain stable and scalable.
How Many Meme Coins Exist?
When talking about the different known cryptocurrencies, the second most well-known is Shiba Inu or SHIB. It’s notably the second-largest in terms of meme coin capitalization, but it also experienced a significant decline—7.8% in just a single day.
As far as trading volumes go, they’re down by 30%, pushing a bearish trend for the meme coin. In the same trend as Dogecoin, the community of supporters are waiting on a new product from SHIB, termed Shibarium. However, in this case, the product has yet to be launched.
Which Meme Coin is Best?
When it comes to the question of which cryptocurrency may be the best, the community has come to a great divide. After Dogecoin and SHIB, there’s also ApeCoin, a native coin from Bored Ape Yacht Club from Yuga Labs. It arrived at the scene fairly late in 2021, but it has since grown its own ecosystem. ApeCoin has been a known major token, and has a vast number of users in its ecosystem. Those who hold ApeCoin can participate in DAO governance and are given access to different features, merchandise, and services.
These three are just the main players that either took the cryptocurrency industry by storm or have established a lot of its aspects. Yet these are not the only ones that are taking hold of the market. And new players come out time and again, most recently marked by Big Eyes. This new player may have a hand at the recent declines that major players are experiencing.
Big Eyes Sets Its Eyes on a Promising Future
To date, Dogecoin and SHIB still hold the lion’s share of the industry at $16 billion and $13 billion in market caps, respectively, early in the year. However, another animal is coming into the jungle, and it may be shuffling around the title of alpha.
Aptly called Big Eyes, the community-driven cryptocurrency seems to be looking at Shiba Inu and Dogecoin’s position for number one. Big Eyes seems to be coming from the direction of Japan, and distinguishes itself as a Community Coin. Big Eyes’ strategy seems to rely on NFTs, and it is establishing the NFT Sushi Crew club for its platform.
All of these are still seeds being planted into the community. But investors are even looking at Big Eyes Coin as a possible player that can overtake the leading giants in the industry. Analytics Insight reported that Big Eyes may be pushing for its own agenda of ocean and marine life conservation of the ecosystem. To do this, they will contribute 5% of the profits to the cause.
FAQ:
What causes the price volatility in meme coins?
Meme coins are highly susceptible to social media influence and celebrity tweets, which can cause rapid price changes.
How do new meme coins affect the market?
New entrants often create initial excitement, leading to price surges that may not be sustainable in the long term.
Can the rise of meme coins impact other cryptocurrencies?
Yes, the hype around meme coins can divert attention and investment from more established cryptocurrencies, affecting their market.
Are meme coins a good investment?
While they can offer quick gains, their long-term value is highly uncertain, making them a risky investment.
The Rise of PoS Cryptocurrency
Big Eyes may be leveraging the popularity and rising appeal of Proof-of-Stake or PoS mode. Many older nodes of bitcoin were established via Proof-of-Work or PoW, as it makes the capitalization of the industry possible. Dogecoin, considered as the father of meme coins, also follows the PoW way.
In contrast, Big Eyes may challenge the system by adhering to the PoS. Even if it’s founded on Ethereum, a platform that follows PoW, Big Eyes appears ready to switch to PoS. Whether or not new developments for the older OG cryptocurrencies happen remain to be seen, but it’s best to keep an eye out even for the new players to get a better gauge of the field.
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