Cryptocurrency analysis platform Messari has shared a new analysis on memecoins, one of the sectors most concentrated by investors.
Among the memecoins examined are US President Donald Trump and his wife Melania Trump’s own topkens, TRUMP and MELANI.
Messari analysts, who discussed memecoins with the sharp declines they experienced, stated that five famous memecoins TRUMP, MELANIA, MOTHER, DADDY and JAILSTOOL experienced very sharp declines after their rapid rise.
Messari noted that five popular memecoins have experienced an average drop of up to 80 percent since their ATHs.
The most notable of these was undoubtedly Trump’s own token, TRUMP. After reaching its ATH in a short time, TRUMP fell by more than 60%, while his wife Melani Trump’s token, MELANIA, fell by more than 80%.
Australian rapper Iggy Azalea’s token MOTHER and social media phenomenon Andrew Tate’s token DADDY also reached their ATHs in June and July 2024, while their declines exceeded 80%.
Finally, the memecoin JAILSTOOL, which Barstool Sports founder Dave Portnoy played a key role in promoting, fell by approximately 85 percent from its ATH.
The decline of celebrity-backed meme coins reflects the inherent risks of memecoins as speculative assets, while US Senator Elizabeth Warren, who has come to the fore with her anti-crypto stance, has called for federal scrutiny of TRUMP and MELANIA.
The reason for the decline is shown as investors switching to other altcoins due to the high volatility and risks of memecoins. Accordingly, investors have been focusing on DeFi and RWA-based altcoins in recent times.
https://twitter.com/MessariCrypto/status/1889083594389250544
*This is not investment advice.
Read the full article here
