- Keith Gill’s return to social media coincides with significant spikes in both GameStop stock and memecoin prices.
- Patrick Scott discusses the growth of tokenized assets and emerging trends in Solana and DePIN networks attracting investment.
The recent uptick in GameStop’s stock price has been mirrored by a sharp increase in unrelated GameStop memecoins. Market analysts attribute this rise to the current sluggishness in the market, which has led traders to seek any possible investment opportunities.
Daan Crypto Trades, reported that investors are engaging in these memecoins out of boredom, looking for any sign of positive movement. Ed Hindi, the Chief Investment Officer at Tyr Capital, observed that the sudden interest in GameStop memecoins suggests that there is capital in the market that is not being effectively used.
According to data from CoinMarketCap and Google Finance, a Solana-based memecoin named GameStop, which is not affiliated with the GameStop corporation, saw an increase of 2,727% over two days.
Concurrently, the actual GameStop stock experienced a 204.50% increase in its price. In the last 24 hours alone, the GME memecoin has increased by 65.68%.
This trading fervor coincided with the return of Keith Gill, known as “Roaring Kitty,” to social media. Gill, a noted GameStop stock trader, posted on his X account on May 12, marking his first social media activity since June 19, 2021. His post, a cryptic meme, signaled his re-entry into the trading scene.
— Roaring Kitty (@TheRoaringKitty) May 13, 2024
During this same timeframe, only two crypto out of the top 100—PEPE and Floki—managed to maintain considerable gains, with increases of 35.73% and 11.27%, respectively. Other popular cryptomeme like DOGE and Shiba Inu initially spiked but have since seen declines of 1.76% and 1.39% over the past 24 hours.
Market sentiment, as measured by the Fear and Greed Index, has declined over the past 30 days, now standing at a “Greed” score of 64 as of May 15.
Daan commented that the increase in GameStop stock prices has given crypto traders confidence that related memecoins might also see price increases. They mentioned that price movements often lead traders to create narratives to explain market behaviors.
Having your stock become a meme can be quite valuable. I wouldn’t be surprised if some companies start paying money to try to manufacture this kind of mania. Perhaps some already are. https://t.co/V81978FOxX
— Patrick Scott | Dynamo DeFi (@Dynamo_Patrick) May 14, 2024
On the other hand, Patrick Scott, founder of Dynamo DeFi, argued that the cryptocurrency market is not short of engaging narratives. He highlighted growth in the area of tokenized real assets and pointed to notable activity on networks like Solana and Decentralized Physical Infrastructure Networks (DePIN), which are drawing non-speculative revenue into the cryptocurrency market.
This trend underscores how quickly market sentiment can shift based on new developments and social media activity, influencing both the stock and cryptocurrency markets profoundly.
