As meme coins continue to win over the hearts and wallets of the public, analysts wrestle with their irreverent, often aggravating appeal.
Take $Luigi, a meme token inspired by Luigi Mangione, the main suspect in the December 4 shooting of UnitedHealthcare CEO Brian Thompson. The coin soared to a $77 million market cap just two days after launching earlier this week, in what can only be read as a protest against Mangione's arrest on December 9.
Mangione is cast as a hero for writing a manifesto against corporate greed and taking action in this ruthless shooting, which was recorded live and watched by millions online.
In a sad reaction, Luigi's coin was then launched by anonymous crypto traders, and immediately started to move forward. Radiumthe automated market maker built on Solana.
Public Sensation Signal Hype-Coins
Meme coins often appear in response to viral content, news or popular culture events, and their value can fluctuate wildly, reflecting public sentiment about these topics.
Although many are based on very innocent memes, such as dogs, cats and frogs, others are inspired by darker tropes, such as murder, suicide, cancer, or even swastikas.
Luigi's coin, for example, seems to draw its strength from the latent anger common people have for physical greed.
“As always, the Solana meme coins are the best source of news, as evidenced by the Luigi Mangione coin made minutes later,” coin guru Burning Kitty commented on it. X.
The $Luigi meme coin continues to feed the hype surrounding the story, but like most news-based meme coins, it is very volatile and has fallen to $29 million at the time of writing.
The Dark Power of Meme Coins
Similarly, coins like Catslap tap into the public's secret desire to perhaps b*tchslap some powerful people, as seen in the $SLAP website.
These meme coins show that public anger can be channeled to send a signal to the moon, but also, that acting on heated feelings may not be the best bet.
That's because, the bigger the issue, the more volatile the value, as we saw with $LUIGI falling as fast as it rose.
Meme tokens like $LUIGI lack the underlying value and stability of traditional assets, making them highly volatile and risky investments, argued Alex Beene, Director of Financial Literacy at the University of Tennessee, in an interview with News Week.
“A spike in the base value of a meme associated with a viral story or trend is usually not that extreme, let alone the focus of criminal activity. Even though more buying activity is being done out of innovation right now than as a sign of support, it certainly doesn't speak volumes to some in the crypto community” said Beene.
Analysts think a smarter move, if you're into irreverent meme coins, might be to look at something like Catslap ($SLAP). The token has seen a price increase of about 220% since it was listed on MEXC on December 6. This, after a 7,500% price gain since launching on decentralized exchanges just two weeks ago.
Catslap is reviewed by Solid, has a 99% project reliability score on DEXtools, and 53% of its $6.8 million liquidity is locked up chained for one month. So rugs are not likely to be pulled.
The token is also now one of the main exchanges on the most popular Ethereum crypto wallet, Metamask. Liquidity looks deep at $6.5 million, and is locked in for an additional six months to indicate the team's commitment to the longevity of the project.
You can buy $ SLAP forward MEX, Best Walletdirectly through the exchange widget on the Catslap website and on Uniswap DEX. $SLAP is shooting for a $100 million market capitalization, so act fast if you want to slap the top cats.
Read here for others the best meme coins looking at it now.
Disclaimer: As always, this is not financial advice, and it's always best to DYOR (do your own research) before buying crypto.
Source link
