Meme Coins - whether to invest or not?

economictimes.indiatimes.com:

crypto market, with Bitcoin reaching all-time highs, altcoins and meme coins are also experiencing a surge in popularity. It is important to educate investors about meme coins as more people are engaging in regular buying and investing activities.

Speculative nature and volatility of Meme Coins

Meme coins have been present for over a decade, but the last Bull Run in 2021 marked a significant emergence of meme coins in the crypto space. Meme coins, like their traditional counterparts, leverage blockchain technology, often residing on platforms like Ethereum and Solana. With over thousands in existence, their speculative nature and volatility make them captivating.


Top crypto narratives in Q1 2024. Source: CoinGecko

Meme coins are prone to extreme fluctuations in value over short periods, driven by the current hype surrounding the token. They typically possess a massive or uncapped supply, resulting in very low values per token. Many meme coins often lack underlying technology or a tangible use case, leading to their value being solely reliant on market sentiment.

A Glimpse of Utility Amidst Speculation

A positive trend is emerging: some meme coins aspire to establish utility-driven ecosystems. For example, Shiba Inu is creating