I saw a picture that shocked me for half a year.
This is a picture disclosed by a certain exchange on a social media platform. Even though I personally have sufficient knowledge and preparation about the rise and fall of Meme Coin, my preparation is obviously not enough.
As can be seen from the picture, the increase of three Meme coins is particularly amazing, with the highest increase of 77 million times, 6 million times and 360,000 times respectively. The following is a screenshot of the data of the three coins on the exchange. From the trend of the data, it can be found that although these coins have a short time, ordinary users have a chance to get on board and make good profits.
Pulling the price, the most direct promotion of Meme coin
In the past, the surge in Meme coins required a dealer with both background and strength, or a Meme concept that was highly consistent with the hot topic. But now the logic of the surge in Meme coins is to pull the market. The early K-line trend will determine the survival cycle and later growth space of Meme coins. The strength of the pull mainly depends on the influence of KOLs’shill and the follow-up execution of market users, the blessing of user traffic, and the level of the centralized exchange listed in the later stage will affect the rise and fall of the currency to a certain extent.
For example, the currencies in the screenshot above all have a simple 1 or 0.1 at the beginning, but the highest price can reach hundreds of thousands. Even if you don’t cash out at the highest point, you can still make a lot of profit by selling at any point. Moreover, even if you don’t buy it at the beginning, you can still make a lot of money, especially ARAS. This K-line trend is very attractive to users.
Involution, extremely involution
Data shows that on the platform "pump.fun" dedicated to creating Meme coins, the total number of tokens issued is currently 1.67 million, and the total number of issuances is continuing to grow, but only about 1.41% of the tokens are eventually listed and traded on the Solana decentralized financial protocol Raydium, and even fewer Meme coins can be traded on centralized exchanges.
The existence of the Pump.fun platform has greatly lowered the threshold for issuing tokens. Meme coins can be quickly deployed by providing a name, code and JPG image, and the cost is even less than $2. Users do not need to provide any start-up capital, and liquidity pool funds can be raised from the community. Such a user-friendly environment naturally attracted a large number of users, including Caitlyn Jenner, Iggy Azalea, Jason Derulo and many other celebrities, who have used their own images to create and promote encrypted tokens with the help of pump.fun.
The proliferation of tokens, the unevenness of projects, and the frequent occurrence of Rug phenomena have given rise to the emergence of CTO (community takeover), making the development prospects of community autonomy and collective decision-making clearer, and to a certain extent promoting the decentralization of Meme coins, thereby attracting more market users to enter the Meme coin field.
Everything Can Be Meme-ized
The source of the mass emergence of Meme coins is that everything can be Memeified. As the current Olympic Games are gradually coming to an end, many Olympic-related Meme coins have also appeared. Turkish casual uncle Dikec won a silver medal in a shooting competition and became popular on the Internet. Because of the multiple Meme attributes, related tokens have appeared: DIKEC and DAO. The data of DIKEC on Solana and Ethereum chains are shown in the figure.
In addition to DIKEC, 31-year-old Korean shooting athlete Kim Ye-ji, Italian boxer Angela Carini, and the Paris Olympic mascot have all appeared in Meme coins with the same name.
In addition to the celebrity effect, social hot spots and well-known remarks will generate a large number of Meme coins, as well as animal coins, imitation coins, etc.
In the second quarter of 2024, the Meme coin market continued the momentum of the first quarter, demonstrating the broad market development space and vitality. According to Coingecko's statistics, the average return rate of Meme coins in the second quarter was as high as 789.3%. Although this figure is lower than 1312.6% in the first quarter, it is still much higher than other sectors of cryptocurrencies.
In fact, the continued popularity of Meme coins not only demonstrates the innovative vitality of the cryptocurrency field, but also a profound challenge and reshaping of the traditional crypto ecosystem. From the initial sporadic concepts to the current meme-ization of everything, this trend has not only enriched the diversity of the crypto market, but also greatly stimulated the creativity and imagination of market participants. Faced with a rise of tens of millions of times, the Meme coin market has undoubtedly become a model of high-risk, high-return fields. However, we should also be aware that with the lowering of the issuance threshold and the surge in the number of tokens, the competition within the industry has become more and more fierce, and the phenomenon of internal circulation has become more and more serious. In this context, only through technological innovation, strengthening supervision, and promoting community autonomy and collective decision-making can we ensure the healthy development of the Meme coin market and further expand its development potential.
To sum up, going back to the picture at the beginning of the article, the standard for selecting high-quality Meme coins from 1.67 million is actually very simple: as long as it is listed on a centralized exchange, it is worth buying!
