- Here are three top meme coins that investors in ApeCoin may want to consider in this current environment right now.
- Axie Infinity (AXS-USD) is a blockchain-based metaverse game.
- Shiba Inu (SHIB-USD) is perhaps the pre-eminent meme coin in this market,
- Dogelon Mars (ELON-USD) is yet another meme coin that’s attempted to take advantage of Elon Musk’s celebrity status
ApeCoin (APE-USD), along with most meme coins and altcoins for that matter, has seen some serious selling pressure this week. Like the overall market, it’s been a bloodbath of late for crypto investors. And while some buying pressure has been seen on Friday, it’s unclear whether this rally will hold. Ultimately, 2022 has been a year of rallies that have found a way to be sold.
There’s probably good reason for this. The macro environment we’re now in is completely different from what we’ve seen in recent years. The Federal Reserve is intent on raising interest rates, sucking liquidity out of the markets. Thus, the cheap capital that funded incredible growth in the past for various digital currencies is no longer there.
That said, there are a few meme tokens I think are interesting to consider in this selloff. Many of these tokens, like ApeCoin, are still well above where they started out. For those bullish on ApeCoin, here are three options to consider as risk-on bets in this risk-off market.
Meme Coins: Axie Infinity (AXS-USD)
Interestingly, Axie Infinity (AXS-USD) is not necessarily a meme coin. At least, that’s not the bucket many investors would put Axie Infinity under.
This project is a blockchain-based metaverse game. Like other metaverse-related tokens, Axie Infinity saw an incredible bull run late last year. However, since then, Axie Infinity has fallen off a cliff, alongside Meta Platforms (NASDAQ:FB) and other metaverse-related stocks, for obvious reasons.
Now, the reason Axie Infinity is included on this list as a comparable to ApeCoin is the ties ApeCoin has to the metaverse via its Otherside metaverse project. While this project didn’t necessarily go off as expected, ApeCoin holders are clearly bullish on a met averse-driven future. Accordingly, both tokens may be considered in tandem, in my view, as long-term growth opportunities with high-risk, high-reward upside.
Shiba Inu (SHIB-USD)
Perhaps the pre-eminent meme coin in this market is Shiba Inu (SHIB-USD). This dog-inspired meme token has taken off since inception, previously posting multi-million-percent gains over the course of a year.
However, since hitting its peak late last year, Shiba Inu is now down approximately 85% from its all-time high. This move coincides with deteriorating price action in the overall crypto market. Accordingly, as one of the most-watched meme tokens in the crypto world, investors have sold off Shiba Inu to a greater degree. My view appears to be similar to that of the broader market, that Shiba Inu represents a higher-leverage bet on the moves the broader market makes.
That said, there are some token-specific factors that have driven Shiba Inu higher. In particular, tweets from Elon Musk have boosted this token in the past. Accordingly, with the upcoming take-private deal that will see Elon Musk take over Twitter (NASDAQ:TWTR), Shiba Inu bulls have something to be excited about.
Like the other tokens on this list, Shiba Inu is speculative. However, for those looking for speculative risk-on bets, this is an intriguing one right now.
Meme Coins: Dogelon Mars (ELON-USD)
Another interesting meme coin that’s seen impressive interest this year is Dogelon Mars (ELON-USD). As its token symbol suggests, this is yet another meme coin that’s attempted to take advantage of Musk’s celebrity status the meme token space has enjoyed over the past year.
While Musk appears to be concerned mostly with Dogecoin (DOGE-USD) and Shiba Inu, Dogelon Mars has gained interest mainly due to its name. Like Shiba Inu and other meme coins, Dogelon Mars has a growing community of dedicated followers. How this translates into fundamental value is lost on me. However, should some real utility be generated at some point in the future, perhaps there’s an argument to be made with this token.
Dogelon Mars is the most speculative meme coin on this list, which really says something. Meme coins are a high-risk, high-reward sandbox to play in. However, there continues to be interest in the potential for life-changing returns in a short amount of time. Until that dies down, these tokens may remain interesting speculative bets for investors at these lower levels.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.