{"id":651121,"date":"2024-11-01T14:09:36","date_gmt":"2024-11-01T14:09:36","guid":{"rendered":"https:\/\/uniquehot.com\/?p=651121"},"modified":"2024-11-01T14:10:07","modified_gmt":"2024-11-01T14:10:07","slug":"from-internet-sensation-to-wealth-legend-an-in-depth-analysis-of-the-frenzy-and-truth-behind-meme-coins","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/company\/from-internet-sensation-to-wealth-legend-an-in-depth-analysis-of-the-frenzy-and-truth-behind-meme-coins\/","title":{"rendered":"From Internet Sensation to Wealth Legend: An In-Depth Analysis of the Frenzy and Truth Behind Meme Coins."},"content":{"rendered":"
Memecoins have been a major driving force in the cryptocurrency market in 2024. With the ongoing development of the Solana ecosystem and the launch of the \u201cone-click token issuance\u201d model by pump.fun, the barrier to issuing memecoins has further decreased, making them a \u201cnew growth point\u201d in the blockchain ecosystem. Compared to mainstream tokens, memecoins exhibit a stronger wealth effect, frequently creating wealth legends, and recently have entered a \u201csuper cycle\u201d narrative. Whether through integration with AI or enhanced functionality, memecoins continuously innovate and create new possibilities.<\/span><\/p>\n
1. From Viral Sensation to Sustained Popularity: The Rise of Meme Coins<\/b><\/h3>\n
Memecoins originated from internet culture. In the summer of 2013, the Doge meme spread across 4chan and Reddit, initially created to mock the cryptocurrency market. On Dec. 8 of the same year, Jackson Palmer and Billy Markus launched Dogecoin, becoming the first meme-based cryptocurrency. In 2021, the explosive rise of SHIB and DOGE sparked a memecoin frenzy, making it an important part of the crypto industry. In recent years, memecoins have continued to gain traction in the global crypto market, with their market capitalizations and trading volumes consistently rising. According to CoinGecko, as of Oct. 30, the total market cap of memecoins has surpassed $69 billion, setting a historical high. Spectacularly, ten memecoins have entered the Top 100 crypto market ranks, including established projects like DOGE, SHIB, and PEPE, as well as newcomers like WIF, BONK, and POPCAT.<\/span><\/p>\n
\n2. The Success Behind Meme Coins<\/b><\/h3>\n
Memecoin popularity is a result of several factors. Firstly, they\u2019re closely connected to degen culture and easily spread among younger users and online communities. Secondly, the investment threshold for memecoins is relatively low. Thirdly, their high volatility and short-term returns attract risk-tolerant speculators. The viral spread of memecoins can trigger sharp price increases and decreases in a short time. In the book \u201cContagious: Why Things Catch On,\u201d the author presents the STEPPS model, which summarizes six characteristics of viral marketing that also apply to memecoins:<\/span><\/p>\n
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Social Currency: <\/b>Meme coin projects resonate with unconventional narratives, such as Cult DAO\u2019s decentralized investment philosophy and the decentralized spirit of the \u201cPeople\u201d project. These narratives easily break norms and attract attention.<\/span><\/li>\n
Triggers<\/b>: Hot events have driven frequent surges in memecoin prices. Recently, Elon Musk mentioned Dogecoin (DOGE) during a speech in Pennsylvania supporting Trump\u2019s presidential campaign, causing its price to rise by 15% within 24 hours. Musk and Trump sparked this increase by discussing the establishment of a \u201cDepartment of Government Efficiency\u201d (D.O.G.E.) to optimize government spending.<\/span><\/li>\n
Emotion<\/b>: Meme coins evoke high-arousal emotions, such as BONK\u2019s mocking of Alameda\u2019s economics, creating resonance and driving dissemination.<\/span><\/li>\n
Public<\/b>: Celebrity endorsements have boosted the success of memecoins, such as Elon Musk\u2019s support for DOGE, which led to its price surge.<\/span><\/li>\n
Practical Value<\/b>: Although memecoins are generally viewed as speculative tools, some projects are starting to explore practical application scenarios to enhance their long-term value, such as DOGE\u2019s payment functionality and SHIB\u2019s ecosystem.<\/span><\/li>\n
Stories<\/b>: Captivating stories help memecoins spread rapidly, such as the legendary tale of \u201cspending 10,000 Bitcoin for two pizzas,\u201d which has become widely known. Similarly, stories of memecoin holders becoming wealthy overnight have inspired countless investors, creating a powerful momentum for dissemination.<\/span><\/li>\n<\/ol>\n
3. Major Exchanges Driving the Meme Coin Boom: MEXC\u2019s Initial Listing Advantage and Advantage as the \u201cGem Hunter\u201d<\/b><\/h3>\n