Memecoins
Why Meme Coins Baby Dogecoin, Shiba Inu and Smog are headed for disaster
You can get rich with meme coins – but it’s best to avoid these options for now
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By now, you probably know that you can make a lot of money trading coins – if you play your cards right. This could include receiving a coin early, among other strategies.
What doesn’t play your cards right is putting your money in a coin that’s heading toward disaster. The problem with meme coins is that their potential for big gains is matched only by their risk of spectacular crashes.
Not all meme coins can win – at least not at the same time. We’ve compiled three meme coins to avoid that could be headed for disaster.
Baby Dogecoin (BABYDOGE-USD)
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Baby Dogecoin is a meme token (BABYDOGE-USD) which was created by Dogecoin (DOGE-USD) Fans. Its creators built its appeal on the fact that it was a dog-centric community. However, Baby Dogecoin could not come out of Dogecoin’s shadow.
Furthermore, it was outpaced by newer, flashier pieces such as Floki (FLOKI-USD), PEPE part (PEPE-USD), And dogwifhat (WIF-USD). BABYDOGE was nowhere to be found during the bull run last March and only has a fragment of 29% change This year.
Furthermore, BABYDOGE channel activity shows people buying, but the volume isn’t loud enough to get things moving. Overall, its pricing behavior indicates that it is not favorably positioned for long-term success and is a meme coin you want to avoid.
Shiba Inu (SHIB-USD)
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Shiba Inu (SHIB-USD) entered the scene in 2020 as a self-proclaimed competitor to Dogecoin. This was the case. For the moment, it is tied with Dogecoin in terms of community participation – generally a hallmark of meme coin success.
It has also eclipsed Dogecoin in terms of price growth. At the moment, Shiba Inu has connected a staggering 31,000,000% from its all-time low of 2020. In contrast, someone who purchased Dogecoin gained 4989% over the same period.
However, SHIB’s days in the sun may be over. In March of this year, when meme coins were all the rage, SHIB saw a 250% jump from January. This pales in comparison to newer coins such as Floki, who released up to 700%and dogwifhat, who brought back up to 4,000%.
Given its track record, one would think that SHIB would be one of the best performing coins during one of the market’s most intense rallies, but it was simply limping along. If you are looking for a crypto that has a future, SHIB is not one of them and is a coin to avoid moving forward.
Smog (SMOG-USD)
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Pollution (SMOG-USD) is a dragon-themed meme coin that debuted on decentralized exchange (DEX) Jupiter in February. It quickly soared by more than 3,000%, bringing in tidy sums for investors who got in early.
However, SMOG is one of dozens of meme pieces on Solana, which has become the most popular destination for meme pieces. The only problem is that Smog doesn’t seem to have more to offer, nor has it proven its durability. like, let’s say, BONK (BONK-USD).
In crypto, pillars such as Bitcoin (BTC-USD), Ethereum (ETH-USD)and Binance Coin (BNB-USD) always rise even when they fall because they have real value.
For its part, Smog came to attract attention. Currently, it is down 86% from its all-time high in March – a dramatic decline that does not bode well for its near future. Smog is a meme you want to avoid this season.
As of the date of publication, Hope Mutie had (directly or indirectly) no position in the coins mentioned in this article. The opinions expressed in this article are those of the author, subject to the opinions of InvestorPlace.com. Publishing Guidelines.
Hope Mutie is a writer passionate about finance and crypto. At InvestorPlace, she takes the pulse of the stock and crypto markets to create insightful, information-rich content to help investors navigate the market with confidence.