Author: Nancy, PANews
Whether it is the price performance or the ecological development, the competition between Ethereum and Solana often becomes the focus of attention of all parties. In this round of crypto bull market with significant MEME market, what characteristics and trends do the MEME tokens of both camps show?
PANews compared the market performance of top and popular MEME projects on Ethereum and Solana and found that Ethereum, as the birthplace of early MEME, has gained a higher market share and recognition due to its more solid funding and user base, and the diversity of MEME types makes it easier to meet the needs of different players; while the MEME on Solana is good at quickly using hot spots to capture traffic, while showing stronger price explosiveness and capital attractiveness.
MEME leader competition: Ethereum has a stronger community foundation and consensus, while Solana has a significant short-term wealth effect
MEME has gradually become one of the important sectors in the crypto market. According to data from CoinMarketCap cited by Forbes recently, in the first half of 2024, the market performance of coins including WIF, PEPE and FLOKI exceeded that of mainstream tokens such as Bitcoin and Ethereum. The Q2 2024 report released by CoinGecko also pointed out that MEME is the most popular narrative this quarter, and related tokens account for 14.3% of the market share.
Among them, Ethereum and Solana are undoubtedly the main battlefields for MEME coins. According to PANews statistics, as of July 16, the total market value of MEME has increased by more than 54.1 billion US dollars, and the daily transaction volume is nearly 7.87 billion US dollars. Among them, the top 10 MEME projects are basically from Ethereum and Solana, and their total market value exceeds 44.55 billion US dollars, accounting for 82.2% of the total.
Multiple data including market share, development time, user size and type indicate that MEME, the leading blockchain on Ethereum, has an absolute market advantage and a strong community foundation, while Solana has shown a strong wealth effect this year.
Among the top ten MEME projects by market value, half of them are from Ethereum, with a total market value of 37.55 billion US dollars and a market share of over 69.4%. 40% of MEME projects are from Solana, with a total market value of about 5.53 billion US dollars, accounting for 10.2% of the market share. This also reflects to a certain extent that the market's recognition of the value of Ethereum MEME is higher than Solana at this stage.
From the perspective of launch time, the MEME coins with higher market value on Ethereum were all launched earlier, with DOGE being the earliest launched in December 2013, and also having the highest market value. On the other hand, the MEME coins on Solana were generally launched relatively recently, with the earliest project being BONK launched in December 2022. Relatively speaking, Ethereum MEME has been tested by the market for a long time, and a long time is also conducive to building consensus on the project.
The number of addresses holding coins also shows that Ethereum MEME has a deeper user base and higher community recognition. According to PANews statistics, as of July 16, the total number of addresses of the Top 10 MEME exceeded 10.494 million, and the projects with the largest number of holders were DOGE, SHIB, and BRETT. Among them, the number of Ethereum MEME addresses was about 8.793 million, accounting for 83.8%, while Solana only had 1.045 million, accounting for 9.9%. Of course, this has a lot to do with the fact that Ethereum MEME has a longer development history, and its project has already experienced a substantial increase in the early stage.
Judging from the investment returns of the top 10 MEME projects, the average increase of these MEME coins this year is as high as 1890.8%, mainly due to the extremely high increases of POPCAT and MOG. Among them, Ethereum MEME has increased by 13.2 times, and Solana has increased by nearly 30.4 times. At this stage, Solana has a higher wealth effect and is more likely to attract users and funds to enter the market, but this is also affected by factors such as the late launch time of its MEME project and the small market size. However, there is no obvious difference in the anti-fall ability of the top MEMEs of Ethereum and Solana, with an average retracement of 46.1% on Ethereum and more than 47.6% on Solana.
Popular MEME Capture: Solana is good at "playing memes", while Ethereum has higher recognition
Capturing hot topics can often help investors grasp the pulse of the market, so it has a great impact on the level of player participation, especially MEME, a typical representative of the attention economy, which is more likely to become a hype topic due to its popularity. In this section, PANews compares the market performance of 5 popular MEME projects with the same name on Ethereum and Solana in terms of launch time, market value, price fluctuations, and liquidity.
Timing can affect the accumulation of funds and profitability to a certain extent, so the sensitivity of hot spot capture is an important consideration for MEME players. From the perspective of launch time, most of the MEME projects on Solana, including FIGHT and FEAR NOT, were launched earlier than Ethereum. This means that Solana may be more likely to attract MEME players to participate.
The current popular MEME trading volume also shows that Solana is more attractive to players and funds on the chain than Ethereum. Taking DEX Screener data as an example, in the past 24 hours, the transaction volume of the top 20 MEME trading pairs on Solana exceeded US$280 million, accounting for 15.5% of the day's transaction volume, while Ethereum accounted for 9.3% of the total, which was US$190 million.
Higher returns are also more attractive to players. From the return rates of these five MEME projects, Ethereum has increased by more than 43.6 times on average, while Solana has increased by more than 78.2 times. At the same time, the maximum retracement rate shows that Solana is slightly ahead of Ethereum's 67.7% with an average maximum loss of 63.9%, which is relatively more resistant to risks.
However, MEME on Solana faces the problem of insufficient liquidity, and its market value is significantly different from that of Ethereum. Liquidity is often a decision-making factor for players when choosing assets and transactions, and sufficient liquidity often shows stronger resilience. Judging from the liquidity of these five MEMEs, the liquidity of the same project on Ethereum is better than that of Solana, and some even have a gap of more than ten times. For example, the liquidity of Ethereum's MAGA is 15.5 times that of Solana. At the same time, market value also reflects the market's acceptance. The market value of Ethereum's MEME project is significantly higher than that of Solana. For example, although FIGHT was launched on Ethereum and Solana only two hours apart, the market value of the former is nearly 5.5 times that of the latter.
In addition, since Ethereum MEME types are richer than Solana, it also has a certain impact on the scale of players. DEX Screener tracking data shows that among the top 20 MEME trading pairs in the past 24 hours, Solana mainly focuses on animal themes such as cats and dogs, except for some PoliFi concepts such as Trump and JD Vance. Ethereum also has Trump and JD Vance theme MEMEs, but the number of related projects is larger, and animal elements also involve frogs, cats and dogs, especially PEPE derivative themes.
