Memecoins

Roaring Kitty Frenzy Reignites Meme Coin Market, GME Coin Rises 224%

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03/06/2024 02:35:20 ET

THE ”

Roaring kitten

“ The phenomenon has once again shaken the meme coin market, triggering a rapid surge in the value of Solana-based coins

memecoin

GME.

Keith Gill

better known online as “Roaring Kitty,” resurfaced on social media Sunday evening, marking his first post since last month’s frenzy that impacted both traditional and cryptocurrency markets.

The meteoric rise of the GME coin

Following Gill’s social media activity, GME, a memecoin that pays homage to GameStop Corp.’s 2021 short squeeze, saw a dramatic increase in value.

According to data from CoinMarketCap, the cryptocurrency more than tripled in just a few hours, pushing its market capitalization above $70 million, an increase of 180% in the last 24 hours.

Trading volumes for GME also surged, increasing more than sixfold to $110 million.

At the time of writing, GME was trading at $0.01223, up 217% in the last 24 hours.

This significant increase highlights the volatile nature of memecoins, which can fluctuate dramatically based on social media influence and market sentiment.

What’s going on with Kitty’s AI?

The impact of Gill’s post extended beyond GME.

Other cryptocurrencies with names related to “Kitty,” such as Kitty AI, have seen substantial gains despite having no direct connection to Roaring Kitty or GameStop.

Kitty’s AI more than doubled in value, highlighting the speculative nature of the meme coin market where trends can change rapidly based on minute factors.

These developments once again highlight the ephemeral nature of memecoin rallies, which often rely heavily on social media hype.

Last month, similar coins posted significant gains following Gill’s posts, but were unable to sustain their value beyond the initial excitement, leading to sharp declines soon after.

Market volatility and investor caution

The rapid rise in value of GME and subsequent increases in other memecoins highlight the inherent volatility and speculative risks associated with these digital assets.

While the potential for quick profits exists, investors should be aware of the equally high potential for quick losses.

As the week progresses, market watchers will be closely watching the performance of GME and other related memecoins to see if the gains can be sustained or if they will follow the pattern of previous short-lived rallies.

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