The crypto markets have displayed extreme price actions in less than a week in both directions. The Bitcoin price fell below $66,000 and is now struggling to hold the $65,000 support level, indicating that the correction phase has not yet ended. This could have triggered a significant ‘FUD’ factor among the market participants, which has deeply impacted the memecoin mania, specifically, the Solana-based memecoins.
Also Read : Solana’s Total Fees Touch New All-Time High As SOL Price Hits $200! Should You Expect A Correction?
BOME, which had gathered more than $1 billion in market cap has slumped by nearly 50%, followed by dogwifhat by 22% and Bonk by nearly 20%. Besides, the other SOL-based tokens that do not have a 7-day history, like Potato (POTATO) and SNAP ($NAP), led the losers with 87% and 73% plunges, respectively. Therefore, this suggests whether the insiders or the early birds are dumping on the retailers.
Should we consider this the end of ‘Memecoin-Mania’ or is it still yet to happen? The data from Coingecko suggests the entry of a new Solana-based memecoin, Slerf (SLERF), which has soared close to 50% while the other tokens are slaughtered.
Slerf, a newly minted memecoin on Solana, has bagged a $500 million market cap in just a few hours. Interestingly, the 24-hour volume is the highest among all the other SOL-based memecoins, with over $3 billion; however, popular ones such as DOGE, SHIB, and PEPE have failed to record. Therefore, the rising ‘craze’ for the newly minted memecoins has raised many concerns, including CryptoQuant CEO, Ki Young Ju.
The founder expressed his deep concerns over the increasing popularity of memecoins. The CEO believes that these types of memecoins ‘harm the crypto industry’ as they overshadow the hardworking projects that are building legit products to advance the industry. Moreover, he also compares the ongoing ‘Memecoin Mania’ with the popular ‘ICO burst’ of 2018 and says that easy money can’t drive industry-wide progress.
