A recent post from a user nicknamed Roaring Kitty (Keith Gill) stirred up the investment community. This influencer hadn’t been seen on social media for the past three years. The shared image garnered thousands of comments and boosted GameStop’s (NYSE:GME) price. This meme stock grew by 118% in one day and forced users to switch to this type of asset. The sharp rise replaced a steady decline that had been persisting since January 2021. This has stumped a large part of experienced Wall Street players and left many questions in the hearts of readers.
One feature remains common when we compare meme stocks to meme coins. One message can trigger a chain reaction of growth for the entire sector. The difference lies in the crypto asset trends and plays favorably for meme coins. During 2024, this token cluster gained muscle and is a serious force in the investment space. The market capitalization of $10 billion can quickly turn into $100 billion after the correction period.
For investors, it becomes obvious whether to expect a black swan in the meme stocks market or a highly probable growth of meme coins in the next few weeks.
PepeCoin (PEPECOIN-USD)
The history of animals or works of art in contact with blockchain technologies gave rise to many meme coins. One of the sources of inspiration for crypto creators was Pepe the Frog. First, it penetrated the Internet culture and became an integral part of social media feeds. The token world absorbed this idea, which led to the creation of Pepe (PEPE-USD) and a group of coins with the same basis.
So, PepeCoin (PEPECOIN-USD) is lower in the market capitalization ranking. But this is the advantage of the digital asset. It is free from the shackles of overbought status and can gain height faster than other meme coins. Such advantages tip the scales of comparing meme stocks to meme coins in favor of the latter.
Created last year, PEPECOIN drifted among the low-priced tokens until December. During this period, trading volume amounted to tens of thousands of dollars per day. This prevented us from discussing high market interest. But everything changed at the end of 2023 when increased demand stimulated investor activity. The token price reacted to the increase in trading to $6.5 million and jumped from $0.01 to $0.15 in a couple of days. This hike was a training session before the April peaks that reached $7.51. With a market capitalization of more than $0.5 billion, this token succeeded in riding the meme coin trend and demonstrated explosive growth.
Shiba Inu (SHIB-USD)
The anonymous creator, known as “Ryoshi,” could hardly imagine in 2020 the heights to which Shiba Inu (SHIB-USD) would soar. The issuance brought 1 quadrillion tokens to the market. Yet over time, their number has been decreasing and now amounts to a little over 500 trillion SHIB. To get to this point, there were various actions from a one-time burn of 40% of the coins to linking the burn to token transactions.
Deflationary tokenomics is not the only trump card of the project, as it strives for the harmonious development of the ecosystem. The stable functioning of ShibaSwap DEX and the successful completion of the latest hard forks have strengthened the platform’s position. SHIB’s social dominance has increased by 46.339%. In addition to the existing benefits of Shibarium, the community is looking forward to the arrival of Shiba Eternity. This P2E game will expand the reach of Shiba Inu and offer new ways to interact with the platform. After the latest updates, SHIB can win in the comparison of meme stocks versus meme coins. The growth in the number of transactions in Shibarium leads to further growth in the customer base and the token price.
Also, Shiba Inu withstood the bearish pressure of the spring of 2024, proving to be a stable token against the background of other meme assets. In fact, over the past month, the price fluctuation has been in the range of $0.000021-$0.000028. The time lag between the growth of major cryptocurrencies and meme coins gave investors a few days to buy the coin for their portfolios.
Dogecoin (DOGE-USD)
When comparing meme stocks to meme coins, the most prominent representatives of both categories are the first to be considered. Dogecoin (DOGE-USD) stands out even against the best crypto assets. And, it has never left its leading position among meme coins over the long history of its existence. Transactions worth about $1 billion are made with this token. Such a level of activity is a dream for most coins that are on the crypto community’s radar.
This peer-to-peer open-source cryptocurrency is among the top 10 in terms of market capitalization and has a high supply of almost 150 billion coins. However, even such a volume of tokens in circulation did not prevent the price of Dogecoin from rising. After the last correction, it did not fall below $0.12 and is accumulating strength to grow along with the market. The past bull run pointed to a pattern of behavior for the coin in favorable times. In the first half of 2021, DOGE has risen from $0.003 to $0.73, proving its ability to multiply investors’ wealth.
Over the past year, Dogecoin owners doubled their wealth, but holders are in no hurry to sell the token despite the price fluctuations. During the current rise, the valuable asset can surpass the ATH level and show 500+% profit. And the project is doing everything possible to make this happen. In particular, it has expanded the range of ways to use DOGE to make payments for goods and services. The continuing accumulation of the coin in the hands of whales shows their confidence in the coin’s upward trend.
On the date of publication, Julia Magas did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
