Bull runs always bring out new market trends that outperform the rest.

In 2017, Bitcoin and Ethereum were the stars, and in 2021, DeFi, Layer 2 solutions, and NFTs took the spotlight with insane returns.

Now, as we approach the next bull run, many speculate that Gaming, AI, and RWAs (Real-World Assets) could be the potential stars.

But what if we've been missing something?
What if memecoins become the wildest trend of the upcoming cycle?

For better or worse…

Incredible Performance Even in a Bear Market

Despite a long bear market, memecoins have shown surprising resilience and, in some cases, extraordinary performance.
Some have even seen triple-digit percentage growth in just weeks and are maintaining large communities and market caps.

Example:
Launched in April 2023 deep into the bear market, PEPE quickly rose to fame, reaching a $1 billion market capitalization within just three weeks of launch. It now remains a significant player with a current market cap of around $4 billion​.

Even as the broader market struggles, new memecoins continue to emerge and capture attention.

These standout performances might lead us to believe that memecoins could outshine other assets when the market turns bullish again.

Proliferation of Memecoins

In April 2024 more than 1.1 million new crypto tokens were created worldwide.

→ 370,000 based on Ethereum (actually on Layer 2 solutions, particularly the Base blockchain)
→ and about 640,000 on Solana.

Platforms like Pump.fun and SunPump facilitate the creation of memecoins without coding, leading to an explosion in their numbers.

This surge shows real demand and interest, from developers wanting to ride the trend and investors aiming to find the next 1000x project.

Simple Narrative and Quick Profit Promises

Memecoins benefit from a simple, easily understandable narrative:

• low market cap

• high upside potential

• quick profit possibilities.

Investors, especially individuals new to cryptocurrencies are attracted to the idea of turning small amounts of money into life-changing gains.

This narrative fits perfectly into the speculative nature of crypto bull runs, where many retails investors chase hype and momentum rather than fundamentals.

Bitcoin and Ether: Too Institutionalized?

Bitcoin and Ethereum, once the mavericks of the crypto world, have become institutionalized.

While this has solidified their long-term position in the market, it also means they are now seen as safer, slower-growth assets.

Memecoins, on the other hand, represent rebellion even within the crypto space. Their anti-establishment appeal and decentralized community-driven marketing attract a different type of investor – one looking for excitement, chaos, and high-risk, high-reward opportunities.

The proliferation of memecoins is a double-edged sword within the crypto landscape.

On one hand, they generate significant activity and liquidity into blockchain networks, driving community engagement and providing accessible entry points for new investors.

On the other hand, the excessive creation of memecoins poses substantial risks:

• scams (1/6 of projects are fraud)

• technical vulnerabilities (90% of memecoins have technical flaws)

• market manipulation, and the diversion of liquidity from more meaningful blockchain innovations.

From an investor’s perspective, willing to maximize gains in the upcoming bull run, memecoins remain worth watching closely.

Love them or hate them, they could still emerge as major winners in this cycle.

Take care,

TheCryptoPicks ❤️