GameStop-Inspired Meme Coin Plunges After Rapid Rise
The GameStop-inspired GME coin, minted on Solana, has experienced a significant drop of over 52% in just one day, according to data from CoinGecko. The price currently sits at under $0.0046, after reaching an all-time high of nearly $0.012 on Thursday before falling by about 67%. It’s important to note that the token is not affiliated with the actual GameStop company, which has remained silent on the matter.
Meme coins, like GME, are often created by traders to take advantage of popular figures, brands, or internet memes. Examples of meme tokens include Dogecoin, Shiba Inu, and BONK, as well as those inspired by Elon Musk and Henry Kissinger.
Rise and Fall Similar to GameStop Stock
The rise and fall of the GME token mirrors the pattern seen with GameStop’s stock on the New York Stock Exchange. In January 2021, GameStop shares surged during the meme stock phenomenon but have since declined steadily. Today also marks the closure of GameStop’s NFT marketplace due to regulatory uncertainty.
Hot Take: GME Coin Highlights Volatility of Meme Coins
The recent plunge of the GME coin serves as a reminder of the extreme volatility associated with meme coins. These tokens can experience rapid fluctuations based on social media sentiment and other factors. While they may offer potential gains for some traders, it’s crucial to approach them with caution and conduct thorough research before investing.
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