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"Degens" (high-risk DeFi traders) might be choosing meme coins just because there are too many narratives fighting for attention from retail right now. Despite all its drawbacks, the meme cryptocurrency segment remains a "fun and simple" shortcut, pseudonymous DeFi researcher @DefiIgnas says.
"Degens opt for simple and fun": Meme coins still beat other narratives
In Q4, 2024, the altcoin segment becomes uneasy to keep up with as new promising narratives are popping up here and there. Ethereum's Layer 2 scaling networks, AI meme cryptos, BTCFi are some of them, seasoned cryptocurrency researcher who goes by @DefiIgnas on X says.
Feeling overwhelmed as crypto has never been more difficult to keep up with.
— Ignas | DeFi (@DefiIgnas) October 25, 2024
- Ethereum L2s
- AI memecoins
- BTCfi: Runes & BTC L2s
- RWAs
- New stables & DeFi primitives
- Prediction markets...
With so many sectors fighting for attention, no wonder degens opt for simple & fun:…
On-chain real-world assets, new stablecoins and fresh DeFi primitives as well as decentralized prediction markets are also in the spotlight for the crypto audience.
As such, all these narratives become too difficult to be properly studied. This is what might be pushing "degens" toward meme coins.
As covered by U.Today previously, @DefiIgnas indicated the disruptive potential of tokenized RWAs in early 2023.
Also, the researcher points out some questions altcoin holders should ask while managing their portfolio. The promises of L2 road maps, benefits and risks of BTCFi infrastructure progress, brand-new DeFi primitives should be studied together with tokenomic designs of potential meme coins for investing.
AI meme coin scene highlighted by analyst
Focusing on a single segment or trying to cover multiple narratives are two ways to advance the understanding of what is happening in crypto right now, he opined.
Personally, he is going to be studying the AI meme coin meta-narrative this weekend. In the last seven days, AI-led meme coin Goatseus Maximus (GOAT) added 72% amid the anemic performance of the crypto market.
First AI-generated meme coins like TURBO have already went through some euphoria phases this year. However, GOAT is the first one that managed to hit a $863 million valuation and jump into the top 75 largest cryptocurrencies.