Despite Bitcoin’s (BTC-USD) fourth halving and potential Ethereum (ETH-USD) ETF approval, discussions about selling cryptos have escalated. Bitcoin’s modest 15% rise post-halving poses a challenge to reaching Samson Mow’s $1 million target. Market analysts note halving’s strain on miners, with rewards cut, prompting selloffs and downward BTC pressure.
May brought relief for crypto investors as the market recovered. Bitcoin remained above $57,000, reaching $70,000. Altcoins and meme coins surged alongside high fear and greed index levels. Amid the excitement, investors risk overlooking potential losses.
Previous bull runs show coins losing value due to market trends, project issues or tokenomics flaws. Investors mustn’t solely trust promises from overbought coins, risking all for high profits.
Pepe (PEPE-USD)
Pepe (PEPE-USD), inspired by the Pepe the Frog meme, embraced its meme coin identity, drawing value from its active community. It aimed to leverage the meme’s popularity to boost platform engagement. PEPE has seen a rapid surge in value, yielding quick profits for speculators. However, enthusiasm waned due to insider trading allegations and security issues.
Created last year, it remained a low-priced token until December, with modest trading volumes. Demand surged in late 2023, boosting its price from $0.01 to $0.15, reaching $6.5 million in trading. By April, it peaked at $7.51, achieving over $0.5 billion market cap, exemplifying meme coin growth.
A major incident involved rogue developers stealing $15 million. Moreover, newly added meme coins make Pepe’s long-term appeal a bit blurry, signaling a cautious position.
Shiba Inu (SHIB-USD)
Introduced in 2020, the dog-themed coin Shiba Inu (SHIB-USD) matched Dogecoin (DOGE-USD) in community engagement. It also surpassed its rival, rising 31,000,000% from its lowest. In comparison, Dogecoin rose 4,989%. However, SHIB’s prominence may be waning.
Shiba Inu’s price faced potential declines, raising concerns for the token. However, there were lower support levels providing some relief. Decreasing volume suggested a dropping price might be less damaging. SHIB struggled to stay above $0.00002476, testing lower bounds, indicating a possible further drop if support levels failed. The descending triangle pattern on the chart also suggested a continuing downward trend.
In March, during a meme coin surge, SHIB only increased 250% from January, while newer coins like Floki (FLOKI-USD) and dogwifhat (WIF-USD) saw gains of over 700% and 3,000%, respectively. Despite its past success, SHIB’s future looks bleak, making it a meme coin to avoid.
Fetch.ai (FET-USD)
Fetch.ai (FET-USD) offers industrial-level AI solutions on blockchain, partnering with Bosch and Munich for manufacturing and smart city infrastructure. Autonomous agents use machine learning, enabling applications in recruitment, supply chain and trading. FET token powers operations.
Fetch.ai’s developments continue positively. FET plans a merger with SingularityNET and Ocean Protocol, forming an Artificial SuperIntelligence alliance. ASI launches mid-June, allowing FET conversion. Concerns arise over Fetch.ai’s lack of profits, prompting some investors to switch. BeInCrypto predicts a FET price drop if investor exodus continues.
On the date of publication, Chris MacDonald did not hold (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.
