New Memecoin Surge Could Surpass Dogecoin and Shiba Inu; Bitcoin Must Hold $80K Post-Halving
Summary:
A new memecoin wave could outpace Dogecoin and Shiba Inu in the crypto market, according to venture capitalist Andrew Kang. He suggests that Bitcoin should maintain a price above $80,000 post halving for mining to be economically viable. Meanwhile, Coinbase’s Ethereum's second-layer blockchain, Base, has reached a total value locked of $4 billion for the first time, surpassing Ethereum and Arbitrum in monthly transactions.
In the latest crypto market cycle, a fresh surge of memecoins could potentially disrupt established coins such as Dogecoin and Shiba Inu, says prominent venture capitalist. As per CryptoQuant's indications, it is imperative for Bitcoin to sustain a price above $80,000 following the halving for its mining to remain economical. In related news, Coinbase's second-layer network, Base, has achieved a milestone of $4 billion in total locked value, surpassing Ethereum and Arbitrum in monthly transactions.
Andrew Kang, the founder of Mechanism Capital, suggested that memecoins have affirmed their stance robustly in the digital asset segment and could be a pivotal element of success in the current market cycle. Kang, in a post on April 7, compared memecoins to "culture coins", implying that these new tokens might surpass Dogecoin (DOGE) and Shiba Inu (SHIB) in terms of popularity. Influential communities are powerful in propagating their ideologies and display what they appreciate about their lifestyle inherently making them viral, he articulated.
When it comes to launching memecoins, Solana is leading the field with coins like Jeo Boden (BODEN) and Doland Tremp (TREMP) bagging significant popularity recently. Since its launch on March 9, BODEN has shown an astonishing return exceeding 700,000%.
Keeping mining profitable post Bitcoin's halving requires the Bitcoin to sustain at $80,000 or above, as indicated by Ki Young Ju, CEO of CryptoQuant. With the upcoming Bitcoin halving in mid-April, the cost of mining with Antminer S19 XPs is predicted to double from $40,000 to $80,000. The halving incident exerts a strong influence on miner behaviour as mining expenses double to gain the same amount of BTC.
The Bitcoin's mining cost stood at $49,902 on April 6, and its price is above $70,000 reportedly. Post halving, the mining costs would escalate over $80,000, implying that the Bitcoin price needs to exceed this figure for profitable mining operations.
In another development, Coinbase's Ethereum's second-layer blockchain, Base, has seen an increase of over 13.2% in its total value locked (TVL) over the past week, crossing the $4 billion mark for the first time while outperforming Ethereum and Arbitrum in monthly transactions. The Ethereum scaler's hike in TVL also coincides with a significant spike in activity with its 30-day transactions hitting 50.34 million, exceeding Arbitrum and Ethereum's transactions.
In the light of recent memecoin trends, Base's memecoin market capitalization has crossed the $1.6 billion threshold, marking over 13% increment in the previous day, as reported by CoinGecko.
Note: This news does not contain professional investment advice or recommendation of any sort. Investment and trading include risk, hence readers are advised to research thoroughly before making any decisions.
Reported by Geraint Price, Sam Bourgi and Felix Ng.
Published At
4/8/2024 11:43:51 PM
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