"Which CA should I apply for today?"

Meme coins are emerging in an endless stream, and players are eager to explore potential "golden dogs". In some meme groups, players share the CA (contract address) of the meme coins they just bought. Due to the difficulty of coins, KOLs continue to drive various meme projects to dominate the screen. PANews also wrote an article analyzing the reasons why memes are “crushing” mainstream coins.

Although among the tens of thousands of newly launched memes every day, the ones that can successfully escape are the few survivors, but among the memes that have successfully landed, how do you grasp the potential? Is the rise of the dragon head meme an accident, and what are its characteristics worth noting? To this end, in this article, PANews sorted out the 12 popular meme coins with high market value in Ethereum and Solana recently and their market performance (the selected targets were the projects of the same name with the highest market value in each chain, as of October 18).

Source: PANews

Over 70% of memes have become popular this year, and most of the amazing gains require holding for at least five months.

According to CoinGecko data, as of October 18, the market value of the meme sector has exceeded the $61 billion mark, setting a record high. Among them, 10 meme coins have entered the top 100 of the crypto market. In addition to established players such as Dogecoin, Shiba Inucoin and $PEPE, there are also newcomers such as $WIF, $BONK and $POPCAT.

The 12 popular meme coins selected by PANews all appeared after 2023, and most of them are popular projects this year, accounting for more than 70%. In terms of market size, the cumulative market value of these projects has exceeded US$554 million, accounting for nearly 9.1% of the overall market value of memes. Among them, $POPCAT, $Neiro, $MOG, $SPX and $SPX have the largest market sizes. This is also enough to show the market participation of memes.

Judging from the time it takes for the tokens of various meme projects to hit new highs, it takes an average of 162.7 days, including $BITCOIN (HarryPotterObamaSonic10Inu), $MOG, $SPX and $GIGA, which all take longer, almost at least a year or more. , which shows that memes that have been verified for a certain period are more likely to be recognized by the community. $MOODENG, $GOAT and $Daram all rose strongly to highs within a month, with the shortest being only a few days. Of course, this is directly related to the current popularity of the community.

Judging from the change in the number of currency holding addresses after the currency price reached a new high, the average increase was 39.3%. Among these meme coins, the number of addresses of $APU and $MOODENG is far ahead with a growth rate of 135.7% and 119.9% ​​respectively. In contrast, the growth rates of projects such as $BITCOIN, $POPCAT and $Neiro are not obvious, respectively. Only 5.3%, 3.2% and 1.5%, which may have an important relationship with listing on mainstream exchanges, accumulating a sufficient user base in the early stage, and the timing of price increases.

Not only that, but these memes basically lead to amazing reward rates. Statistically, 12 memes had an average top return of over 37,000x. After excluding the extreme value of $GIGA of 245,000 times, the average maximum increase of other meme coins is 18,000 times, among which $BITCOIN, $SPX, $MOODENG and $GOAT are more eye-catching, while $Daram and $POPCAT perform better behind. Of course, these return rates are only based on market capitalization data backtesting, and there are basically no players who can reap all the increases. However, there are still some players who have achieved thousands or even ten thousand times of floating profits. PANews has previously published an article analyzing the highly profitable smart money on-chain paths on $GOAT and $MOODENG.

Most of them experienced sharp retracements, with the average position value touching tens of thousands of dollars.

When evaluating the risk control ability of currency prices, the maximum retracement rate is undoubtedly one of the commonly used indicators, and it is also a psychological test for holders. From the data point of view, excluding $GOAT and $Daram, which have just become popular and are still on the rising channel, other meme coins have retraced to varying degrees from their historical highs, with an average maximum retracement rate of about 49.1%, of which $MICHI , $APU, $MOG and $MOODENG had the largest declines, 87.7%, 87.5%, 71.1% and 65.4% respectively, which also means that their holders will face the risk of significant losses if they buy at high points. In comparison, $GIGA, $FWOG, $POPCAT, and $Neiro all have maximum drawdown rates well below the average.

Not only that, but in terms of days to revert, these projects take an average of about 23.9 days. Among them, $MICHI, $APU, $MOG and $MOODENG, which have the highest drawdown rates mentioned above, require more repair cycles, and some of them take hundreds of days, while $GIGA, $BITCOIN, $FWOG, $POPCAT, Repair times for $SPX and $Neiro are in the single digits. The length of the currency price adjustment cycle will also affect the confidence of holders, the longer the cycle.

In addition, judging from the position value of these 12 projects, after excluding the TOP10 currency holding addresses, the current average position value is nearly US$9,837.6 (calculated based on the currency price on October 18). Among them, $SPX, $MOG, $POPCAT, $Neiro and $BITCOIN have the largest holding values, which are $26,560, $17,504, $16,337, $15,120 and $11,297 respectively, $Daram, $GIGA, $GOAT and $MOODENG are below average, both below $5,000. If we look at the proportion of holding value and the highest increase multiple, $POPCAT, $Daram, $FWOG and $Neiro holders have more investment costs, while $GOAT, $MOODENG and $GIGA have less.

Analyzing the multiple logics behind the rise of memes

From simple internet memes to tens of billions of dollars in cultural narratives, the success of the above meme projects may bring the following revelations:

Withstand the test of time and build strong community consensus

Source: PANewsHarryPotterObamaSonic10Inu

Time is always one of the important tools to test value. Projects that go through a longer cycle are often more likely to gain market recognition. Take $BITCOIN (HarryPotterObamaSonic10Inu) as an example. This is an abstract meme that combines various elements such as Harry Potter, Obama, and Sony. It once attracted attention due to its skyrocketing in 2023. Since then, its price has experienced a year-long decline. The twists and turns of time continued to rise until September this year. Holders of $BITCOIN have also climbed higher during this period, posting gains of nearly 88.2% in one year. $SPX (SPX6900) is also an abstract meme launched in 2023 with the story of an anime girl surpassing the S&P 500 market cap. Judging from the price trend, $SPX also experienced a long period of downturn until September this year. According to the analysis by chain analyst Ai Ai, the Dev of the meme and its associated addresses have not interacted with the project for a long time. On the surface, $ SPX has been fully handed over to the community.

Taking $POPCAT as an example again, the market value of this meme has exceeded 1.3 billion US dollars without being listed on the top exchanges. It has a strong community behind it. Although $POPCAT’s increase is not as high as other memes, it already has more than 7.7 The million-holding currency address is also the one with the most holders among the above-mentioned projects.

Increase attractiveness with the wealth effect

For many meme players, the continued decline of value coins has made them no longer “payable”, and the meme industry has become one of the means for the community to resist VCs. A higher wealth effect is undoubtedly the simplest and crudest way for memes to attract funds and attract new users. Especially users with small capital can leverage extremely imaginative benefits at a lower cost.

Source: PANewsGigaChad

For example, $GIGA (GigaChad) is used to commemorate the legendary Ernest Khalimov. Since its creation and launch, the highest increase has been as high as 245,000 times, far exceeding other meme projects mentioned in the previous article; $MOG (Mog Coin) is the first emoticon cultural currency. Since its launch, it has risen more than 16,000 times, and has nearly recovered all losses after experiencing a sharp correction. While $MOG is rising in price, it is gaining more and more supporters, and the number of currency-holding addresses is showing a steady growth trend.

Celebrity effect with its own communication power

Memes can also be understood as the realization of the attention economy. As a scarce economic resource, the stronger the project's ability to attract attention, the greater the consensus and the greater the potential room for growth. Among them, celebrity effect often has appeal and communication power, and is also an important factor in the success of memes in the past.

Source: PANewsApustaja

For example, $APU (Apustaja) is one of the most widely used frog emoticons on the Internet. It has a similar image to PEPE and has a relatively strong cultural foundation. $MOODENG is backed by the Internet celebrity animal Moo Deng and has a huge influence. Supported by influence and traffic, according to a survey by crypto KOL Rasmr, $MOODENG is currently the most popular meme coin among ordinary people in street surveys. But such memes are often affected by changes in the value of the underlying support. For example, $MOODENG fell sharply after the Moo Deng mania cooled down.

Seize users’ minds with the first launch effect

"Becoming the first is a shortcut to enter the mind." Among the many meme narratives, novel narratives are often more likely to attract players. For example, $GOAT (Goatseus Maximus) was the first meme coin agented and promoted by AI, and with a16z’s fame, the meme became an instant hit, achieving a market value of over US$300 million in just over a week. , with a maximum increase of more than 24,000 times; $Daram combines BRC20 and meme properties, and opens the channel for the issuance of meme assets, allowing its market size to exceed 50 million US dollars in just one week after its launch.​

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[Disclaimer] There are risks in the market, so investment needs to be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views or conclusions contained in this article are appropriate for their particular circumstances. Invest accordingly and do so at your own risk.

• This article is reproduced with permission from: (PANews)

• Original author: Nancy, PANews