There is no doubt that when the market is in the "big market alone" stage, the only performance opportunity falls on the meme currency project, and more and more market attention begins to shift to the meme currency sector.
Data show that the search volume for "Bitcoin" on the search engine Google reached a year-long low in the week of October 12. The search index dropped to 33 at the weekend, while the search index for "meme currency" was 77 during the same period. Although it has not yet exceeded the historical high (100) set in late October 2023, compared to Bitcoin, meme coins have undoubtedly become the topic and industry that the general public pays most attention to recently.
The question that follows is: Is there excessive bubble phenomenon in the meme currency track? How high is the ceiling for the meme coin project? With such a dense “order craze”, has the meme currency track peaked?
Performance of meme currency sector: market capitalization accounts for less than 2.5%, but the top 100 market capitalization accounts for 10%
According to data from the Coingecko website, the current overall market value of the meme currency sector is approximately US$58 billion. Compared with the total industry market value of cryptocurrency of 2.354 trillion, it accounts for only 2.4639%, less than 2.5%.
Previously, Ansem, a crypto KOL and cryptocurrency trader known as the “King of Meme Coin Callers” and “The First Person to Bring Meme Coins”, once wrote: “Cryptocurrency funds generally flow to meme coins. ($50 billion of the $2.2 trillion market capitalization, 2.5%), and they have the momentum to gradually gain more attention.
The best deals over the next 4 months will determine which meme coins possess the following characteristics:
long accumulation period;
the fanatical community on platform X (i.e. Twitter);
Easily relatable to ordinary people.
It is worth noting that someone in the comment area mentioned that MOG meets the three requirements mentioned by Ansem. As the "MOG leader", Ansem did not hesitate to positively affirm this and said: "So True (too true) ).
Source: Screenshot of OdailyAnsem’s speech
What is completely different from the market capitalization ratio is that more and more meme currency projects can be seen among the top 100 market capitalization companies in the cryptocurrency industry.
Coingecko website information shows that the top projects of meme coins currently account for 10% of the top 100 market capitalization. The top projects are: $DOGE, $SHIB, $PEPE, $WIF, $BONK, $FLOKI, $POPCAT, $ BRETT, $NEIRO (lowercase project), $MOG; among the top 10 cryptocurrencies by market capitalization, $DOGE ranks 9th with a market capitalization of US$16.57 billion.
Source: Odaily
If the cryptocurrency industry is compared to a country, in the overall economic volume of this "country", the "economic system" of meme currency currently accounts for only 2.5% of the total GDP; but in this "economic system", the market capitalization ranks first Among the 100 "companies", 10 "companies" belong to the meme currency track.
In comparison, in 2023, the total revenue of the companies selected for the Fortune 500 in the United States will be 18.1 trillion U.S. dollars, equivalent to 71% of the U.S. GDP that year; in 2024, the total revenue of the top 500 companies in the United States by market value will rise to 18.8 trillion U.S. dollars, An increase of about 4% from the previous year; the total revenue of the companies on the list is equivalent to two-thirds of the US GDP.
Of course, it is extremely ridiculous to compare the cryptocurrency industry with a market capitalization of just over 2 trillion to the U.S. economy with a GDP of tens of trillions, but we can clearly see: compared to the relatively fixed market capitalization range of the cryptocurrency industry ( 2 trillion-3 trillion US dollars), the market value of the meme currency sector is undoubtedly in a strong growth trend in this cycle.
Heroes on the meme currency track: Solana Ecosystem +pump.fun’s groundbreaking “one-click coin issuance” model
According to market data, memecoin market performance outperformed all other sectors of cryptocurrency in 2024 and shows no signs of slowing down thereafter.
Source: Statistics related to an article in Odaily in June this year
According to data from the Step Finance website, 497,153 new token projects have been created on the Solana network since September 12 to date (that is, within the past month).
Solana Floor previously posted that within one day on October 8, nearly 20,000 new token projects were launched on Solana, and most of them were meme currency projects. On October 12, it also posted that the total market value of the meme currency sector on Solana exceeds US$10 billion, and the 24-hour trading volume is approximately US$2.3 billion.
Fundamentally, the prosperity of meme coins mainly benefits from the following three aspects:
Bitcoin spot ETF and Ethereum spot ETF have been approved one after another, and mainstream fund choices have become centralized.
Many crypto VC projects “have no results for a long time but are issuing coins”, further draining market liquidity.
Solana ecological construction continues, pump.fun creates a "one-click currency issuance" model
Because mainstream funds are concentrated in ETF investment portfolios, newcomers to the cryptocurrency industry will focus more on the meme currency sector, which has a spreading effect, a wealth creation effect, and a herd effect; because many crypto VC projects have experienced After the bear market, there were no tangible achievements or results, but they wanted to "seize the opportunity of the bull market and issue coins as soon as possible to make profits." They queued up to issue coins to exchanges, and then disappeared without a trace, which made the already limited market Liquidity is further sucked, and retail investors in the market are even more reluctant to invest their real money in these spiraling "value coins", which leads to a further vicious cycle; with the continued construction of the Solana ecosystem and the creation of pump.fun Driven by the unique "one-click currency issuance" model, on the one hand, the threshold for currency issuance has been further lowered, truly realizing the vision of "everyone can issue currency"; on the other hand, meme coins have become a currency in different blocks The "new growth points" of the chain network ecosystem, such as TRON, Base, SUI and other ecosystems, have relied on meme coins to gain great market attention, financial liquidity and ecological attention.
The premise for the establishment of the meme currency super cycle: national carnival, market value accounting for nearly 10%, and the emergence of 100 billion US dollars projects
The author personally believes that during this cycle, if the cryptocurrency gradually enters the bull market stage, according to the normal distribution law, the market value of meme coins should be at least close to or the same as the share of the top 100 projects by market value, that is, memes The market value of the currency sector should be about 8% -10% of the overall market value of cryptocurrency.
Previously, the peak market capitalization of the cryptocurrency industry was over US$3 trillion in November 2021. In other words, under high optimism, the potential market for the meme currency sector still has 4-5 times room for growth.
Industry OG, crypto KOL, and investor Murad previously mentioned in a speech: "The super cycle of meme coins is not a prophecy about the future, but what is happening now." Not only that, he also mentioned that in market value Among the cryptocurrencies in the TOP 300, only 43 tokens have better performance than Bitcoin, and among them, meme coins are undoubtedly the main sector. Data related to Murad’s speech in September
Source: Data related to OdailyMurad’s speech in September
In a recent post, Murad mentioned: “The number of memecoin holders in the Ethereum and Solana ecosystems is growing rapidly, and we are still in the early stages of the memecoin super cycle.”
Source: Odaily
Meme coin projects with rapid growth in the number of holders in the past 30 days
Neso, a crypto KOL and veteran player on the meme currency track, has previously published an article expressing his personal views on the subsequent development of the meme currency sector, saying: What kind of market can be called a meme currency super cycle? At least the following key indicators need to be achieved:
The total market cap of the meme coin circuit reaches or exceeds $300 billion (which would be approximately 5% -8% of the total market cap of cryptocurrencies at the high point of this cycle’s bull market);
The emergence of at least one meme coin with a market capitalization of over US$100 billion;
The emergence of 5-10 meme coins with a market cap of over $10 billion;
There has been at least one meme coin that has been reported by mainstream media around the world, followed by celebrities, and has everyone in fomo.
It is worth mentioning that the market value of DOGE, the "originator of meme currency", peaked on May 8, 2021. With the help of Musk, the "technology madman" who was in the focus of global attention at the time, and a kind of fanatical fans, Its market value once exceeded 100 billion U.S. dollars, reaching a single DOGE price of 0.7316 U.S. dollars, and a total market value of 107 billion U.S. dollars. This meme coin project alone accounted for about 4.65% of the overall market value of cryptocurrency at that time. Although the cryptocurrency at that time The industry development stage was completely different from today, and the market value of the cryptocurrency industry had not yet reached its peak at that time, but it still had extraordinary reference value for the development "ceiling" of the current meme currency project. (Bitcoin, meanwhile, was trading at about $57,361 at the time; the overall cryptocurrency market cap was about $2.3 trillion)
We have reason to believe that the conditions for the complete establishment of the meme currency super cycle are still immature. As the world's political and economic situation becomes increasingly tense, cryptocurrency, as an asset with certain hedging properties, is bound to receive more and more attention. focus on.
In the future, with the emotional atmosphere of national carnival, it is entirely possible for 1-3 meme currency projects with a market value of 100 billion to emerge, and the overall market value of the meme currency sector may be expected to exceed 300-500 billion US dollars.
After all, as CryptoQuant CEO and founder Ki Young Ju mentioned: “As the market’s interest in meme currency-related digital assets remains high, by the end of October 2024, the search volume for meme coins may return to its previous level. The highest level in history.”
Summary: The Meme Coin Super Cycle Will Arrive in 2025
A report from crypto asset manager Matrixport shows that global cryptocurrency adoption is approaching a major milestone, with 7.51% of the global population currently using cryptocurrencies. This number is expected to exceed 8% by 2025, marking the transition of cryptocurrency from a niche market to the mainstream financial system.
In addition, the Q3 market research report of CMC Research, a research department of CoinMarketCap, mentioned that "Bitcoin's bull market cycle is accelerating, and this bull market is 100 days earlier than the typical four-year cycle. A variety of factors indicate that Bitcoin may enter a super cycle. Driven by institutional adoption, Bitcoin exchange-traded funds (ETFs) and changing market dynamics, this bull market is expected to peak in mid-May to mid-June 2025, and although there is some early acceleration, there are signs of fundamentals. Facility growth is slowing, which may indicate changes in broader market dynamics."
As Murad has previously written, 2025 will be "a year when meme coins rise and fall like a parabola."
In other words, the bull market in 2025 is expected, and meme coins will also shine in the cryptocurrency industry, which is no longer a niche industry.
Disclaimer: This article does not constitute investment advice. Users should consider whether any opinions, views or conclusions in this article are consistent with their specific circumstances, and abide by the relevant laws and regulations of the country and region where they are located.
This article is reproduced with permission from: (MarsBit)
Original author: Wenser, Odaily Planet Daily
