Meme Coins Mania or How Solana’s Explosive Rise Ignites Frenzy in the Digital Asset Market
In Brief
Following Bitcoin’s recent record high, the market optimism has spread to the memecoin space, resulting in some currencies experiencing price increases more than 100 times in a few weeks.
Trading volumes in the digital asset market are currently at levels previously observed before the last crypto bubble burst over two years ago, indicating that the memecoin mania is showing no signs of decreasing. Memecoins like DogWifCat and Pepe are outpacing the gains made by market leader Bitcoin, which has dominated the news over the last several weeks. With new competitors like Bonk and Floki Inu joining the coins battle, the action is heating up on the expanding Solana blockchain as well.
Despite the fact that these tokens were predicted to have temporary interest, we can see that more and more crypto traders are starting to buy up coins worth thousands and millions of dollars, marking this period as a new wave of memecoins. But is this an indication of something more significant? Is a new memecoin frenzy starting?
Trading volumes on Solana rise following an interest in meme tokens
DogWifCat
After rising by over 15,000% to reach a remarkable $30 million market cap peak on its first day of trade, a new meme currency based on Solana – Dogwifcat is rapidly becoming popular. When Dogwifcat ($DWIFC) unexpectedly burst into the scene, traders hurried to invest in this rapidly rising meme currency. Dogwifcat is poised to emerge as the next major name in meme coins after, for example, a Dogecoin, thanks to its great branding, as seen by the meme that shows a dog connected to a cat (thus, Dog “with” Cat). The coin’s accessibility on decentralised exchanges such as Raydium and Jupiter adds to its allure.
Shiba Budz (BUDZ) and Bonk (BONK)
While talking about Solana-based coins, we should also mention the latest “rivalry” between Shiba Budz (BUDZ) and Bonk (BONK). This competition is about more than just token price or market capitalisation; it’s also about ecosystem development, community support, and creative applications of blockchain technology that add value above and beyond speculation. The 420% price increase of Shiba Budz (BUDZ) challenges Bonk’s (BONK) position and breathes new life into the Solana (SOL) meme currency story.
BONK caused a significant spike in the platform’s value. Its calculated airdrop not only increased its worth but also significantly aided in the spread of the Solana Mobile. This strategic action indicates a revolution in the business by indicating a day when blockchain technology is easily incorporated into daily life.
Since Solana is a leading Layer 1 blockchain, it has a remarkable ability to process up to 50,000 transactions per second (TPS). Additionally, it is supported by a network with more than 200 nodes. This attribute solidifies Solana’s position as one of the fastest and most capable blockchains in the current market, which can be one of the main reasons why people are choosing SOL-based tokens.
Book of Memes (BOME)
The market has benefited greatly from the March launch of the Solana-based meme currency BOME, which draws additional customers to its offers. The asset’s price changes were somewhat correlated with those of Dogwifhat, which had a significant increase in value in the first week. As a result, a lot of analysts began endorsing it as well; some even went so far as to declare it the greatest meme currency available. As a result, on March 16th, BOME surged to a new all-time high of $0.02805. Its market capitalisation also increased to $1 billion, and it momentarily appeared among the top 100 cryptocurrencies in terms of market capitalisation. Coins like BOME notably symbolise the peculiar connection between online culture and the financial world, as seen by its quick rise.
Solana memecoins “Presales” trend
The popularity of Book of Meme (BOME), which allowed early investors to transform a few hundred dollars into hundreds of thousands of dollars in paper earnings, served as gasoline for the trend of coin presales.
Presales are events where tokens are nominally sold before the official launch. Usually, they include the transmission of money to a crypto address in exchange for a set quantity of tokens later on.
The meme coin presale trend has gained enormous popularity in the Solana community. Users of X (previously known as Twitter) ask other users to send them money for a presale procedure before issuing a token, which initiates many talks on scam actions related to presale activities. Zackxbt, a blockchain expert, has discovered that these attempts brought in about $150 million in SOL. However, since thieves set up identical procedures for their own gain, this has encouraged the theft of the money given for these presales.
As we can see, in certain segments of the cryptocurrency industry, raising millions of dollars doesn’t seem to require a functional product, a white paper, a long-term plan, or even a meme image; one social post is enough.
Users should use caution when searching for possibilities on Solana-based meme tokens. It’s important to remain attentive and protect your assets from scammers who are attempting to take advantage of the current frenzy.
What about other blockchain networks?
Memecoins based on Ethereum are becoming incredibly popular; in February, trade volumes topped $6.4 billion, making many people basically millionaires. Three memecoins are expected to soar in value all over March and April as they continue to acquire viral momentum on the internet.
Pepe (PEPE)
This ERC-20 token, named after the famous Pepe the Frog meme, has gained prominence by showing up in almost all Twitter threads and comment sections. There’s no doubt that Pepe has won over many investors’ hearts and wallets, whether he’s settled down in front of his computer or decked up like a wizard. From $0.000001100 on February 24th to a recent peak of $0.0000098000, the price of Pepe has increased. Even if the price has now dropped to US$0.000007519, the next step up is likely to be preceded by consolidation following a period of rapid development.
KangaMoon (KANG) Presale
The presale trend covered not only the Solana network but also the Ethereum one. While Pepe and Shiba Inu, for example, rely on the passion of online communities to increase their worth, KangaMoon includes play-to-earn and social-fi capabilities to provide holders with high usefulness. Players may create characters in the KangaMoon game with special skills to compete in entertaining events and contests. There are several methods to win large, whether players choose to take part in fights and tournaments firsthand or watch and bet on the results.
The current price of the token in the fourth presale round is approximately $0.014. Those who purchase early will stand to benefit the most in the event that KangaMoon becomes the next big meme token since the price will rise with each presale stage. Should Kangamoon be able to secure even a small portion of this market, its valuation might reach $1 billion, and early investors may see a 35x or more return on their token purchases.
What should we expect in the future with all this volatility?
Memecoins are now seeing a huge spike in popularity in the cryptocurrency market, as we can see from the billions of dollars in transactions. As the entire market value of cryptocurrencies approaches $2.5 trillion, several memecoins emerge as big winners, thriving and surpassing the market valuation of the non-fungible token (NFT) and decentralized finance (DeFi) sector with an aggregate market capitalisation for the meme coin category at more than $51.61 billion, marking a 17% growth on the day. Following an eight-month period of horizontal stabilisation, meme currencies have experienced exceptional growth, with double-digit increases and a high connection with Bitcoin (BTC) growth. Due to the speculative nature of the industry, investors are eager to take advantage of the high return possibilities, which has caused a frenzy of activity.
Memecoins outperform all of their rivals primarily because of the increased media and celebrity attention that cryptocurrencies receive during bull runs. Many newcomers are attracted to the market by this attention. They basically toss money at meme coins because they like the idea and the marketing, which is easy to comprehend and catchy. When it begins to pump, traders and analysts take notice, and the pump continues to grow.
The success of Bitcoin will positively impact numerous other cryptocurrencies, including memecoins; we can see right now, that they have started gaining popularity again along with the Bitcoin price increase. This implies that the state of the larger cryptocurrency market will have a significant impact on the viability of meme currencies in 2024. However, meme coins need to have a solid 2024 if established assets do.
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About The Author
Viktoriia is a writer on a variety of technology topics including Web3.0, AI and cryptocurrencies. Her extensive experience allows her to write insightful articles for the wider audience.
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Viktoriia is a writer on a variety of technology topics including Web3.0, AI and cryptocurrencies. Her extensive experience allows her to write insightful articles for the wider audience.
