PolitiFi
A recent addition to CoinGecko’s “Categories” is PolitiFi, a sector dedicated to politically-based memecoins. Needless to say, the majority of these memecoins are Trump-related coins, and even though memecoins have taken a heavy knock the market cap of this particular sector is almost a billion dollars. A few months ago we experienced an initial surge in Trump-related memecoins. However, the recent market slump has brought a severe correction to the overall memecoin market.
It’s not only Trump-related memecoins that have taken a hiding but the entire market, including even the larger cap altcoins. However, memecoins tend to get the short end of the stick regarding market corrections. The upside to this dynamic is of course, heavily discounted opportunities within the memecoin sector. Despite the recent bloodbath, I expect Trump memecoins to begin rallying into the second half of 2024.
Many of these memecoins are also Solana-based, which is another potential catalyst. The approval of a Solana ETF will also affect the price action of other Solana-based projects, including memecoins. Furthermore, as things heat up surrounding the election, I expect an increase in investor sentiment. All memecoins are extremely speculative, in fact, one could go as far as to label this particular sector as gambling. So, one always needs to bear that in mind.
Trump memecoins are experiencing yet another red day, with many being down in double-digit figures. This is when I look to buy and am in search of the following:
Once a market has experienced significant downside over a prolonged period and then offers yet another daily dip.
There is always a chance of further downside. However, the current scenario creates an excellent opportunity to begin nibbling. The practice of effective capital deployment is even more crucial regarding memecoins. Some of the more trusted Trump memecoins such as STRUMP are very attractive regarding fresh accumulation.
Another firm favorite is MAGA, which is currently trading at $5.80 after experiencing an all-time high of $37 and a local top of $17 in June of this year. Both memecoins are available on MEXC, which offers an array of Trump-based memecoins.
DEX users can make use of Jupiter. However, it’s imperative to check the contract addresses with CoinGecko’s data, as there are often numerous duplicate scam coins on DEXs. This is an unfortunate reality that accompanies anyone being able to create a token on a public blockchain.
Final Thoughts
Being a highly speculative asset class, investors and potential investors should never invest more than they are willing to lose. Staggered and controlled entries are the best way to execute risk management effectively. This is however not an asset class for everyone, and a fair amount of research should always precede any investment decisions. All the best, catch you in the next one!
Disclaimer
First of all, I am not a financial advisor. All information provided on this website is strictly my own opinion and not financial advice. I do make use of affiliate links. Purchasing or interacting with any third-party company could result in me receiving a commission. In some instances, utilizing an affiliate link can also result in a bonus or discount.
This article was first published on Sapphire Crypto.
Posted Using InLeo Alpha