Experts Discuss What Made Solana Memecoins The Cycle’s Top Narrative

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As a seasoned researcher with a decade of experience in the cryptocurrency market, I have witnessed the ebb and flow of trends that capture the attention of investors. The current cycle, marked by the rise of Solana-based memecoins, has been no exception.

In this period, Memecoins, particularly those built on the Solana platform, emerged as the dominant theme in the cryptocurrency market. The focus of these tokens has captured the interest of investors, casting a shadow over the achievements of several high-value alternative coins.

Experts have shared their insights on the past year’s market trends, highlighting why meme-inspired tokens were the leading storyline during this cycle, and speculating about potential future developments in the industry.

The Value Of Solana ‘Interjective Culture Coins’

According to Qiao Wang, one of the co-founders of Alliance DAO, he expressed his insights about the factors driving the market trends that set the stage for each cycle’s dominant narrative. In a recent post, he pointed out that there seems to be a chance for individual investors (retail) to surpass the performance of professional traders in every market cycle.

In situations where the career risks are high for professionals, the role (alpha) serves as an opportunity for retail involvement.

According to Wang’s explanation, individual investors, or “retail investors,” outperformed experts in the initial Bitcoin phase. During the second phase, they capitalized on Ethereum‘s storyline, while the third phase saw Decentralized Finance (DeFi) and Non-Fungible Tokens (NFTs) becoming the primary investment opportunities for retail investors.

In recent cycles, Solana and the “subjective culture coins” or memecoins, as Wang referred to them, have been leading the pack. These meme-inspired tokens have garnered significant attention, but they’ve also faced criticism for their perceived lack of practical use and depth, often serving as a quick profit opportunity for creators and early investors.

However, it appears that Wang is proposing the worth of these tokens stems from the common culture they represent – a concept previously debated among experts and industry figures.

According to NewsBTC’s report, crypto experts Ansem and Kel discussed the worth of meme-based cryptocurrencies in the Unchained podcast. In their conversation, they emphasized that the value in these digital currencies comes from internet culture and memes, rendering comparisons with other alternative coins futile.

The team emphasized that the cryptocurrency community is deeply rooted in internet culture since its participants grasp the monetary aspects and possess extensive knowledge about digital trends. Consequently, these investors recognized a chance to turn meme popularity into financial opportunities within the crypto sector.

Furthermore, it was emphasized that “connecting through shared experiences” is an essential element fueling the popularity of meme-based tokens, such as dogwhate (WIF) and Popcat (POPCAT), which are part of the Solana memecoin communities.

Memecoins ‘Absorbed’ The Market’s Energy

On Sunday, Chris Burniske, a partner at Placeholder, joined the conversation about the meme coin craze as well. In his view, “The explosive nature of meme coins offers a clear indication that they could grow beyond our current expectations during the upcoming growth period.

In the article, Burniske stated that he believes the trend will continue to escalate, as the cultural impact of NFT collections from last year may be outshone by the meme coin phenomena of this current period.

It’s noteworthy that, on October 7th, the combined value of all Solana-based meme coins exceeded $10 billion, according to a report by SolanaFloor.

As a crypto investor, I found it intriguing when Solana co-founder Anatoly Yakovenko responded to Burniske, expressing his perspective on why memecoins have dominated the conversation. In his view, previous cycles were heavily influenced by memes (90%) and actual products (10%).

Instead of saying “However, he suggests,” you could phrase it as “He proposes, in contrast to,” or simply “He argues contrary to.” “He argues contrary to common belief that today, the sector has absorbed the energy behind different narratives during other cycles. Solana’s co-founder expressed this theory by stating, ‘My thought is that memecoins today have entirely consumed the meme energy that fueled other cycles, such as DeFi summer.’

According to Yakovenko’s perspective, products should now be created solely with value in mind, which could potentially have a favorable impact on the wider industry.

As of this writing, Solana (SOL) is trading at $151, a 4% surge in the last 24 hours.

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2024-10-08 14:10