Why People Still Invest In Meme Coins – They Don’t Get The Joke

For instance, look at the incredible way in which Dogecoin has grown in both value and popularity. The coin was launched in 2013 to mock Bitcoin and offer a fun way of introducing people to the crypto sector, and its value has since grown by over 14,000%. At the time, the crypto sector was under a lot of suspicions, but Dogecoin saturated the mood by showing that crypto doesn’t need to be too serious.

Despite launching as a joke, meme coins have become viable investments to many traders. Apart from Dogecoin, other popular meme coins are Shiba Inu, Safemoon, and MonaCoin.

Why People Still Invest in Meme Coins

Investing in meme coins is more like gambling, given that the majority of them do not have any actual use cases. However, unlike most cryptocurrencies, meme coins are very cheap. Taking Shiba Inu, for example, the token costs around $0.000006. With very little, you can buy more of the coin and gain much when the value appreciates.

The other reason why investing in meme coins is a viable choice is because they are highly profitable when you buy and sell them at the right time. Recently, Glauber Contessoto came into the limelight to become a Dogecoin millionaire. Contessoto invested early in Dogecoin and was among the lucky investors who stood to gain immensely from the 14,000% price hike.

People also invest in meme coins because of the hype surrounding them. These coins not only use memes to bring out the humor but also use influencers who play a huge role in value pumping.

Elon Musk

Elon Musk, the Tesla CEO, has been famed for being an agile supporter of meme coins. Musk is known for supporting Dogecoin and other meme coins such as SHIB and Baby Doge. Musk has a significant effect on the prices of these meme coins, given that each time he tweets about them, their values appreciate.

Support from such influential figures could be why meme coins are still viable investments despite launching as a joke. It could also be the reason why coins such as Dogecoin are popular among millennials.

Furthermore, some of these coins are upgrading their models to scalable blockchain protocols, which could further add to why people will continue jumping in to purchase. But, it does beg the question – are investors still investing because they don’t actually get the joke?

Leave a Reply

Your email address will not be published.

Related Articles
Read More

New Use Case for Doge a ‘Great Idea’ According To Musk

However, China is becoming less and less crypto-friendly with every passing year, so it might only be a matter of time before it kicks the miners out altogether. While this was usually a background issue, it suddenly resurfaced a few weeks ago, when Elon Musk...
Read More

How Audius (AUDIO) Is Disrupting The Music Industry

The global music industry is estimated to be worth over $61 billion in 2021 according to data from Statista while the figure could balloon to more than $65 billion by 2023. Speaking of major existing players in the music industry, streaming apps such as Spotify...
Read More

AMC Theaters Decides To Accept Shiba Inu In Early 2022

Shiba Inu has seen a massive amount of growth over the course of the last few months, which attracted traders, HODLers, and the media. The memecoin was even proclaimed a potential DOGE killer, which was an idea that had attracted even more attention following SHIB’s...
Total
0
Share