beincrypto.com
Several meme coins outperformed Bitcoin (BTC) in the first half of 2024, posting double and even triple-digit percentage gains.
Bitcoin price is up 61% since the 2024 lows of $38,555 recorded on January 23. The surge came amid broader market optimism, with the crypto industry celebrating the landmark approval of Bitcoin ETFs.
Forbes Meme Coin List of Top H1 Performers
According to Forbes, four meme coins outperformed BTC in H1 of 2024. The American business magazine cites Dogwifhat (WIF), Pepe (PEPE), Floki (FLOKI), and Shiba Inu (SHIB) for 1,300%, 800%, 418%, and 67% in gains, respectively. The Bitcoin of meme coins, Dogecoin (DOGE), is up 35%, falling short of BTC’s 61% climb year-to-date.
BeInCrypto also reported that meme coins ranked among the top earners in the crypto market in H1 of 2024. These reports signify a shift in investor sentiment and market interest as meme coins become a bona fide asset class. Both VanEck and BitMEX Exchange deployed tracking indexes for the sector.
Meme coins are “cryptocurrencies inspired by memes and internet jokes. They have little or no fundamental value,” according to Forbes. However, this sector’s tokens thrive and plummet proportionately depending on market sentiment, indicating the power of the crypto community.
“Meme coins may seem unconventional, but they highlight the power of community in crypto,” Tron founder and Huobi Global advisor Justin Sun said during the Token2049 event.
Read more: 7 Hot Meme Coins and Altcoins that Are Trending in 2024
Meme coins’ reputation as the go-to investment for speculative liquidity positioned them for significant gains in 2024. This is in what has been a bullish H1 for crypto, steered by multiple positive narratives. The Avalanche Foundation foresaw this as early as late 2023 and committed to supporting diverse and culturally significant initiatives.
Bullish 2024 Narratives That Propelled Memecoins
The January approval of spot Bitcoin ETFs marked a watershed moment in crypto, shaped by stiff advocacy in 2023. This landmark decision by the US Securities and Exchange Commission (SEC) brought BTC to the doorstep of institutional players. The spot BTC ETF theme set the tone for expected Ethereum ETFs and a possible Solana ETF.
ETFs’ arrival increased the legitimacy of Bitcoin, Ethereum, and possibly even Solana, which meant more demand for crypto. CoinGecko data shows that the market capitalization of all cryptocurrencies rose by $715 billion in the first six months of the year. Meme coins have contributed significantly to this growth as retail adjusts to market sentiment.
“Retail investors are drawn to meme coins because they offer the same opportunities as venture capitalists during seed, pre-seed, and private sale rounds,” Jonas Dovydaitis, Co-Founder & CEO at PAiT, told BeInCrypto.
Read more: 11 Cryptos To Add To Your Portfolio Before Altcoin Season
Nevertheless, the ETF narrative is only one part of inspiring bullish sentiment in crypto. The other is the Bitcoin halving, marking an integral fundamental that inspired market optimism, particularly for altcoins, despite delayed returns. Bringing hope for a possible bull market, 54% of crypto investors remain bullish after the halving despite recent corrections.
As industry experts remain bullish on altcoins after the halving, some say meme coins will dominate the next altcoin season.
“If an altcoin season happens, memes will outperform the alts. If an altcoin season doesn’t happen, memes will outperform the alts,” meme coin analyst Murad Mahmudov predicted.
Meme coins within the Ethereum or Solana ecosystems rank high on the analyst’s watchlist, with special interest on those with market capitalization between $5 million and $200 million. Mahmudov’s strategy entails hunting coins with “critical mass,” a metric that suggests a strong, cult-like following.