The meme coin market landscape is evolving as market leaders DOGE and SHIB remain relatively subdued, with DOGE’s current market price (CMP) at $0.07, down about 7% in the last seven days, and SHIB’s CMP at $0.000008872, down about 11% in the last seven days as of May 9.
Meanwhile, emerging players FLOKI and PEPE are gaining momentum, fueled by social media frenzy and shifting market dynamics.
FLOKI has gained over 13% trading at $0.00003559, whereas PEPE has gained over 70% trading at $0.000002032.
Amid these developments, BabyDoge now boasts the highest on-chain liquidity of any meme token, suggesting changing market trends.
The meme coin market has witnessed a remarkable transformation as FLOKI picked up steam earlier this year, while PEPE’s value soared in just a matter of days.
The buzz around these emerging tokens, fueled by social media and celebrity backing, has prompted a shift in investor focus and trading volumes.
A new meme coin on the rise
The meme coin craze has reached new heights as a recent transaction involved a trader parting with a jaw-dropping 64 ETH ($118,000) in gas fees to acquire $155,000 worth of a meme coin named four (FOUR).
This bold move has reignited debates on ethereum’s network fees and the feasibility of mass adoption of cryptocurrencies.
Whale Alert reported that the trader executed a uniswap (UNI) trade, swapping 84 wrapped ether (WETH) for a whopping 13.8 billion FOUR tokens, and voluntarily chose to pay a higher gas fee to expedite the transaction.
A pseudonymous Twitter user, FlurETH, disclosed that the trader’s investment in the meme coin has an unrealized profit of 133 ETH ($245,667).
Meme coin mania, driven primarily by pepe (PEPE), has escalated ethereum’s average transaction fees to $22.98, the highest since they peaked at $31.11 on May 12, 2022.
Gas fees debate: boon or bane?
The crypto community finds itself at odds over ethereum’s soaring gas fees. Some enthusiasts praise the increased network activity for its revenue generation and long-term deflationary impact on ether’s supply. In contrast, others maintain that affordability is essential for the mass adoption of the network.
Rather than fundamentally robust projects, the current fixation on meme coins has contributed to the ballooning gas fees. Transactions such as the recent $120,000 gas fee payment demonstrate the extremes traders are willing to pursue to secure early access to potentially profitable meme coins.