Bitcoin, the most emblematic of cryptos, is going through a period of relative calm in the media, while memecoins are establishing themselves as real stars of the moment. A drastic drop in Google search volumes for Bitcoin attests to this unexpected dynamic. Meanwhile, memecoins, driven by platforms like Solana and Tron, are attracting unprecedented attention. Is this shift indicative of a lasting change or simply a temporary situation?
Bitcoin in decline in searches: a revealing fact?
Google search volume for Bitcoin dropped to its lowest level in a year, scoring 33 out of 100 during the week of October 7-12, 2024, according to Google Trends data. This figure signals a significant drop compared to the previous year, when interest in Bitcoin still largely dominated online discussions. Indeed, this slowdown in searches is perhaps a sign of a certain weariness or a stabilization of Bitcoin. With Bitcoin price around $63,000, this decline in attention could reflect a certain maturity of the market, or simply a transition towards more speculative assets.
Among the reasons given to explain this drop in interest, Investors point to a calmer global environment for Bitcoin. BTC has not seen any major movements or events likely to fuel media buzz in recent months, unlike the frenzy seen during previous bull cycles. Thus, investors seem to be turning to other, more volatile and risky opportunities, and are abandoning Bitcoin for projects with potentially more explosive returns, such as memecoins.
The irresistible rise of memecoins: a fashion or a sustainable movement?
Alongside the decline in interest in Bitcoin, memecoins have seen their popularity explode. According to Step Finance, 491,000 new tokens have been created on the Solana network since September 2024, the vast majority of which are memecoins. On October 9, 2024, nearly 20,000 new tokens were launched in a single day, a figure which illustrates the craze for these cryptos. Justin Sun, founder of Tron, also highlighted this dynamic through the launch of the SunPump platform, which allows anyone to create their own memecoins on the Tron network. “This boom in memecoins is the result of growing demand for speculative assets with low entry costs,” specifies CryptoQuant.
However, this explosion in popularity is not without risk. Many observers warn of the dangers of excessive speculation around memecoins. Indeed, every memecoin is a potential scam. If memecoins have become the best performing sector in 2024, with a capitalization that exceeds $10 billion on Solana, their long-term prospects remain unclear. These ultra-speculative cryptos could collapse as quickly as they rose, leaving many investors in the lurch.
The rise of memecoins calls into question the direction the crypto market is taking. This growing popularity in the face of declining interest in Bitcoin reflects a shift in investor preferences, but this shift toward extreme speculation carries obvious risks. If these assets are attractive for their potential for quick gains, they also remind us of the pitfalls of a market in constant search of new opportunities, sometimes to the detriment of prudence. The next few weeks could well determine whether memecoins are here to stay or whether it is a temporary bubble.
Maximize your Tremplin.io experience with our 'Read to Earn' program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.
