What Do You Meme?
As the weekend kicks off, it's not Bitcoin, Ethereum, or XRP gaining some much needed market cap... it's apparently the meme coins' time to shine. Between Dogecoin, Shiba Inu, Apecoin, and Pepe, all are either at a week high against the price of Bitcoin... or very close to surpassing it.
Bottoms started to form around Wednesday, and these projects have really shown nice signs of life ever since. A few other altcoins are rising, but it does appear to be a pretty coordinated effort from some traders and/or groups to push up the price of the four most well known meme coins, specifically.
From a social volume standpoint, there doesn't appear to be any particular recognition of these memecoins' pumps, which began just about 4 hours ago from the time of this writing. It's worth noting that it is the middle of the night in the US right now, but if the price rises continue heading into the Americans' waking hours, FOMO sentiment can potentially cause a top to form quite quickly.
Historically, we need to be aware that surges from speculative assets that really only see minimal development activity (at best), this can often signal that the entire crypto market may be veering toward 'overheated' territory. When these four assets see isolated pumps, it is often associated with greed and/or boredom from the crowd. And these two behaviors often have adverse impacts on the markets.
Note that nothing is a guarantee in crypto, and these kinds of analyses are intended to point out high probability scenarios occurring based on previous outcomes. But anomalies can occur, and we highly recommend watching the mainstream crowd's reaction to these pumps before doing anything drastic.
Disclaimer: The opinions expressed in the post are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product.
Thanks for reading!
If you enjoyed this insight please leave a like, join discussion in the comments and share it with your friends!
Never miss a post from brianq!
Get 'early bird' alerts for new insights from this author