MEME TOKENS - CRYPTO ACADEMY SEASON 4 | WEEK 7 | HOMEWORK POST FOR PROFESSOR @wahyunahrul by @abdu.navi03
Hello everyone how are you all doing? I hope fine. So, this is my second post in the beginner dynamic courses. I warmly welcome you to the 7th week of the 4th season. In this lecture, professor @wahyunahrul
In this lecture, we learned about the Meme token, its origin, the reason for its popularity and investment.
Both the pictures are edited by my mobile's default app.
Basically, the meme is a word that refers to a joke, is funny, and intends to make people relax. As we know that crypto markets are a serious place where the users are working hard to earn profit without taking relax. The only aim of users is to earn money within a short time. They do not have much interest in World affairs and are only focusing on the crypto markets stuff. But the newbies who are coming to the crypto markets, the reason is just the meme coins. Almost all of the people on the earth are on social media. The only thing that hears about crypto on that social platform is the Meme coin. Everyone likes jokes as it keeps them chill, so they try to find out what is meme coin, and by this, they enter the Crypto world.
Now let's come to the question that meme coins have an impact on the market or their influence on the crypto market in 2021. If we are talking about meme coin, so the story starts from a coin named DogeCoin which was invented in 2013 by Jackson Palmer. In the beginning, this coin did not have much value until it was supported by a very famous man named Elon Musk. He tweeted many times about dogecoin, one of it is;
Because of this tweet, the price of Dogecoin has raised by nearly 500%. Just because of his tweet. Also he is the CEO of Dogecoin.
Its price was raised in the recent month because of getting support from Elon Musk and the users who were holding this coin earned a huge profit. Its price raised by nearly 500% reaching 0.75$ in nearly just 25 days.
Celebrities can support any coin, make it famous and the public will be attracted towards that popularity gaining coin. As the public also supported it, so its price will eventually increase due to increased market cap. The popularity of Dogecoin increased. much more than any other coin in the starting months of 2021. Although we can not deny this that the price of meme coin is mainly fluctuated by the influence of celebrities.
The success of dogecoin created hope among the people that the prices of other meme tokens will rise as well. So a number of meme coins have been invented in the year 2021. Because of this reason, people are investing so much in these coins as the prices of meme coins are greatly increasing in 2021 due to the demand for these coins by users.
Now in the later months of 2021, a flood of meme coins including thousands of meme coins in which there are Shiba coin, Poocoin, Safemoon coin,s, and many others. People are investing large amounts in these coins. They are holding their money in meme coins and earning great rewards from it. More the money they invest, more the profit they will gain.
According to me, it depends on you. How do you look at the crypto markets and their procedures. If you know much about crypto and the laws and principles that bitcoin follows, you will surely say that the meme coins are a joke and can demolish you completely. As their prices do not have any fundamental rules and can vary with the tweet or any action of a famous person. You will never know nor you can predict what will be the price of a meme coin in the upcoming days or weeks. The first meme coin to be invented was Dogecoin.
As I have already discussed that when Dogecoin was invented, its price was very low until Elon Musk tweeted about it. After then its price touched the sky. But no one would have predicted that Elon Musk will tweet about a meme coin and its price will rise to a high amount.
On the other side, there are some people who gained millions of profit just by investing in a meme coin. They became millionaires in very little time by doing nothing but investing in a meme coin. These people will never prescribe that the meme coins should not be created. But they will further promote the invention of more meme coins so they can invest, make them famous through social media, and gain huge profits in a little time.
But the basic concept of inventing cryptocurrencies in the world was to substitute the traditional financial system and replace fiat money. But by inventing meme coins and the fluctuation of their price in a little time have scared many users they their money can be drowned suddenly. So a meme coin cannot be applied in the real life. No doubt meme coin is similar to other crypto coins but it does not follow the fundamental law of the Crypto network.
Meme coins are not much different from other coins as they all have the same purpose that to provide a medium of exchange and proceed with fast transactions. The main purpose of cryptocurrency is to take over fiat money and bring all the world towards cryptocurrency. Meme coin also worked on this purpose much. So I believe that that meme coin is a coin from which we should be happy that it was invented as it created much fun in the crypto world.
First of all, I would like to say that, Although meme coin does not follow fundamental law before investing in a meme coin, I would see if that coin has the support of any famous person, community or not. Because the price of a meme coin depends upon the support which it gets from the number of users holding it and making it famous. Meme coins are generally supported or backed up by strong communities which do their everything to support that meme coin.
So in my opinion Meme coin is not good for investment. Because investments are done for the long term. Investments are done on coins that must follow the fundamental rules and the coins on which you can make predictions that its price will be this in the upcoming weeks or months. As it follows the cycle you can predict that its price will increase in 4 or 5 months because of its volume and market cap
But, on the other hand, the Meme coin does not follow any fundamental principles. Its price can increase or decrease by a large amount suddenly. Its price depends upon the number of people or any famous principle or party is supporting it or not.
Take an example of dogecoin. When it was invented, its price was very low and no one knew about this coin. But when Elon Musk tweeted about this coin, It became very famous among the users and a lot of people start investing in this coin. Its price raised from $0.15 to $0.75 in just 20 days
So in my opinion, the Meme coin is not good for investing but for Trading. As you can see that its price fluctuates on just one tweet of any big party or famous person so you can not predict what its price will be in the upcoming weeks or months because a meme coin does not follow any fundamental principles. Although you can earn great profit by trading a meme coin in a very little time
If in question number 3 you choose to invest, then do a detailed fundamental analysis of the Meme Token you choose to prove that the Meme Token of your choice is a good investment tool. (Screenshot Required)
If in question number 3 you choose to trade, then do trade using a small capital or using a demo account. Show how you trade based on the information you get and explain the supporting indicators you will use. (Screenshot Required)
Hoge is a meme token of Hoge finance. It may be described as a community-driven Defi. Hoge is an ERC-20 token. Hoge is a meme coin that was built on the Ethereum blockchain. This coin was launched in the month of February 2021 with an initial supply of trillion Hoge coins but 500 billion coins have been burned permannently.
Hoge finance charges a tax of 2% on every transaction of Hoge coin. Of this 2%, 1% Hoge coins are burned. and the other 1% is distributed among all the users who hold the Hoge coin. So it is designed in such a way that its supply will decrease on every transaction. So this meme coin is also beneficial for investment as you get interest on just holding the Hoge coins in your wallet.
According to some news provided by the Ethereum blockchain, the More the Hoge coins investors hold, the more profit they will gain. This is also called staking. Staking means holding your tokens in a crypto wallet and accessing the operations in a blockchain system. You get rewards for staking coins
Hoge was not very famous when it was launched but somehow it progressed and its price raised by 700% in less than even a month. People earned huge rewards in very little time. People who were holding this were lucky
If we talk about the progress of this coin in the year 2021, we know that it was launched in February and it remained at its low price until the month of April in which the whole market touched the sky. The price of the Hoge coin was very high in the month of April. Then it declined by the month of July. But in August, its price became very high again. Then it had a downward trend in the month of September which was balanced in October.
In October, there was a great increase as the price was raised upward to $0.002. The current market price of HOGE coin is $0.0002039 as shown on coinmarketcap.com
According to the market cap, the Hoge coin ranks 480. Above all, the Hoge coin provides an interest of 1% to all the users who hold the Hoge coin. From the different charts I have shown, you can see that if there is any downward trend, there always came an upward trend. So Hoge coin always balanced its price and provides satisfaction to its users. People have earned a lot from this meme coin.
Although the purpose of meme coin was to create fun among the crypto world. With the passage of time, it gained huge popularity and became famous among the people and they started investing in it. People gained huge profits by meme coins in very little time. In my opinion, meme coin is not good for investing but by trading it, huge profit can be earned. Meme coin price depends upon whether it is supported by any strong party or famous person. Such as Doge coin and Shiba were supported by Elon Musk and people gained huge profits from this.
But you should be careful in investing your assets in a meme coin that if it is supported by any strong party or not. Because if meme coin can increase your finds in a little time, it can also cause you great loss in a little time. So Never put all the eggs in one basket.
In the end, I would like to say Thanks to professor @wahyunahrul because of whom we learned about meme token and their importance in the crypto world. So that is the end of my assignment. I hope you were able to grasp the basics of my lecture.
THANK YOU.
ps: all the pictures have been sourced accordingly. The grammar was checked from grammarly.com while the markdowns have been done according to the Markdown Styling Guide.
Cc;
Professor @wahyunahrul
regards,
@abdu.navi03
Good choice of the meme coin for analysis.
This is good work mate.
Hi @abdu.navi03, Thanks for taking my class.
Based on the homework that you have made, here are the details of the assessment you get:
My Reviews and Suggestions:
The explanation you gave to questions number 1 and 2 is very good and in accordance with the condition of Meme Tokens in 2021.
In question number 3 you choose to trade in Meme Tokens. But in question number 4 you made a fundamental analysis for the Meme Tokens. Please re-understand the questions given carefully.
Pay attention to all questions, rules, and guidelines before creating assignments.
Thank you!
#club5050 😀