Memecoins Soar in Popularity Amid 2024 Crypto Bull Market; Major Banks Eye Bitcoin ETF
Summary:
The 2024 cryptocurrency bull market witnesses a record surge of interest in memecoins, with a notable increase in short-term memecoin investors. Meanwhile, top US banks, including Morgan Stanley and UBS, are in a race to be the first to adopt a Bitcoin exchange-traded fund (ETF). Bitcoin Cash, a faster and cheaper offshoot of Bitcoin, recovers swiftly after experiencing a dip following its second-ever 'halving' event.
The year 2024 has seen a significant surge in the popularity of memecoins within the booming cryptocurrency market, recent information reveals. Simultaneously, a competitive atmosphere is brewing among the principal American banks, vying to be pioneers in adopting a Bitcoin exchange-traded fund (ETF). Bitcoin Cash, a derivative of Bitcoin hatched in 2017, recently experienced its halving occurrence.
In record-breaking news, the count of memecoin investors has reached an unprecedented peak, emblematic of the unabated excitement enveloping the crypto market.
Market insights firm IntoTheBlcok reported an exponential escalation in the volume of wallet addresses holding memecoin tokens short-term - less than a month, setting a new pinnacle. Such trends are substantiated by CoinGecko, which recently classified memecoins as “the prime profit-generating crypto narrative” yet in 2024.
Sourcing: IntoTheBlock
Phenomenal average returns of 1,312.6% in the first quarter of the year were notched up by memecoins, driven by projects like Dogwifhat (WIF) and Book of Meme (BOME). Anecdotes of traders flipping a few thousands into millions have proliferated across social media. A prime example is the recent case shared by Cointelegraph of a trader who converted $13,000 into a staggering $2 million in an hour by trading the Donotfomoew (MOEW) memecoin.
Morgan Stanley is hot on the heels of UBS, aiming to become the pioneer bank approving a Bitcoin ETF.
Arguments over who will be the first to include spot Bitcoin ETFs have begun with the product's US launch. Morgan Stanley aspires to outgun UBS in sanctioning the Bitcoin ETF, as per the crypto fanatic Andrew (AP_Abacus), who reported this on X on April 3rd.
Drawing upon internal Morgan Stanley notes, Andrew maintained that the bank could unveil its induction into Bitcoin ETFs "a handful of days beforehand". Andrew also mentioned the increasing conversations among global banks concerning the interplay between Bitcoin ETFs and a competition.
Eric Balchunas, a Bloomberg ETF pundit, commented on Andrew's thread on X, stating that both Morgan Stanley and UBS are yet to integrate Bitcoin ETFs, referring to a "reliable source". "We are in a waiting game, as we anticipate one of them to make the first move, providing cover for the rest. Thus, it's likely to be a collective moment when asked about it," Balchunas conjectured.
On the back of Andrew's reports that Morgan Stanley has the green light for Bitcoin ETFs, speculations of the bank planning a strategic counter-move against UBS are rife.
Meanwhile, Bitcoin Cash (BCH) experienced a temporary downturn after a quarterly uptick, making a swift recovery following the blockchain's second halving - where mining rewards are halved.
Born out of a necessity for a cheaper and faster alternative to Bitcoin, Bitcoin Cash is a proof-of-work cryptocurrency and blockchain network. Bitcoin Cash's first-ever halving was on April 8, 2020, when the miner rewards dipped from 12.5 BCH to 6.25 BCH.
Sourcing: David Shares
Intriguing speculation ensued as Bitcoin Cash's price rose by a staggering 147.85% in the past three months and 24% in the past month ahead of the halving. However, Bitcoin Cash suffered a price drop of 9.94% - slipping to $572.21 before the halving, as per CoinMarketCap data. But, it rallied back quickly post-halving, hitting $604 – an approximate rise of 5.5%.
CoinGlass data reveals that the recent dip led to liquidations totaling $3.9 million, with the majority at $3.3 million affecting long positions, while short positions were hit with $569,540.
This content is devoid of investment advice or suggestions. Each financial and trading action bears risks. Hence, readers should independently research before making any decisions.
Additional contributions by Geraint Price, Sam Bourgi, and Felix Ng.
Published At
4/4/2024 10:38:22 PM
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