Ever since the first Bitcoin was mined, the crypto space has been a wild west, and one type of token - meme coins have continued to stand out in a market so driven by utility and decentralization.
As the first-ever meme coin to enter the market, Dogecoin provided little to no utility for users, just a sense of community. In fact, the low transaction fees compared to other tokens were one of the reasons why DOGE was ever used - apart from its fun, rebel community.
Now a decade since the first meme coin was ever mined, meme coins have become one of the hottest trends in the current crypto cycle. In this article, we'll examine why memecoin trends are still relevant in 2024, how they resonate with retail demand, and why they tend to emerge during the early stages of a bull market.
How Are MemeCoins Different Now Than Before
The ethos and purpose of meme coins have mostly stayed the same as investors still pursue them to generate higher profits than on regular altcoins while also taking a more relaxed stance on the entire industry. Many consider memes today have evolved - with sophisticated branding, better marketing strategies, and, at times, some utility.
Memes today are all about storytelling, which helps rally communities behind a cause, and $PNUT is the perfect example. The token, which honors Peanut, a squirrel who was seized in New York City and later euthanized, has become a viral sensation during the US elections, helping make the political masquerade more fun.
And similar examples are everywhere. $SHIBA was built on a narrative of the arch-enemy of DogeCoin. $MOG is a cultural iteration of fun on the internet, while the latest $SPX6900 token to launch makes fun of the SPX500. Looking back to 2021 or 2023, there are more examples like $Pepe, $Milk, $Analos $WIF, and much more.
While many point to how meme coins have matured, they've embraced a more rudimentary, back-to-basics approach. Tokens are inspired by internet culture, viral stories, and social events and use these triggers to rally retail communities behind them. And surprisingly, they are proven to work!
Key Factors Driving the Popularity of Memecoin Trends in 2024
Memecoins are the ultimate rebellion against the heavily VC-backed altcoin market and have launch characteristics similar to NFTs. Fair launch is a word used during the later ICO era and during NFT launches, where everyone had a chance of "being early" and riding the token to the moon.
Now, with an equal playing field and more tokens launched than ever, the blockchain infrastructure has evolved significantly to accommodate the growing demands of meme coin and retail traders. The increase in meme coin popularity is driven by a few factors, including the choice of networks being used. Here are some of the more popular ones.
Easier meme coin launching
Deploying tokens has become easier than ever. If, 4 years ago, you needed a smart contract expert to create and launch a token, now you can do it with a single click of a button on platforms like Pump.fun, or similar.
To put things into perspective, in 2024, there's an average of 3000 new tokens launched every day, showing how much demand there is for memes.
Lower-entry barrier
Getting memes means there's no requirement to sign up for any centralized exchange while also allowing traders to invest smaller amounts with higher upside potential. Getting exposure to a new token can be done without extensive KYC or ICO sign-ups.
For retail, that's the primary aspect they consider, as a token can quickly be purchased with $1 without payment of any maker or taker fees. All traders need to know is how to use wallets and DEXs.
Improved infrastructure
The entire industry has shifted to accommodate where profits are being made. New platforms and tools have been created, such as Telegram trading bots, memecoin-specific DEXs, and snipper tools to automate trading.
What helped change memes is the shift from a costly network to relying on faster and cheaper blockchains to deploy tokens on. In 2023 and 2024, Solana memes rose with tokens like $wif, $analos, and even the latest $pnut token.
But reliance on faster and affordable tokens isn't a novelty. In the previous bull market, memes launched on the Binance Smart Chain provided traders with more capital to trade since network fees were lower than Ethereum. In 2024, TRON memes gained popularity with the rise in popularity of SunSwap, a TRON DEX, and $SUNDOG, the protocol's first dog coin.
What's Next for Memecoins? Predictions for the Future
As we look ahead, we won't see memes stopping anytime soon. Retail demands higher and quicker returns than the altcoin market can provide, and new crypto users will be drawn in by a tokens community rather than the tech. We might see increased participation as the bull market rages on into 2025.
The idea of an evolution in the meme coin market where they will provide further utility is still being decided. However, as NFTs and memes have shown us in the past, their delivery is often subpar, so it shouldn't even be considered.
Instead, meme coins should start doing what they're already doing: disrupt an overly saturated market and provide a safe haven from VC-backed funding. Retail users will pursue communities beyond anything else. As the $PNUT token rises and then falls, others will take their place in the market.
With that said, memes are risky, but they are fun. We expect to see additional gamification similar to what the TON ecosystem has achieved with mini-apps. Until then, pixelated tokens related to current events and internet culture will outshine any new fancy tech.
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