Meme Coin Sector Emerges Strong Amid Market Drawdown
The meme coin sector emerged as a rare winner the past day despite the broader market drawdown that pushed prices of major digital assets like Bitcoin down.
These meme assets’ upsurge can be attributed to the unexpected reemergence of Keith Gill, also known as Roaring Kitty and DFV, who played a pivotal role in initiating the GameStop short squeeze of 2021.
GameStop 2.0?
On May 13, Gill reemerged on social media with a cryptic meme depicting a gamer in a focused stance, followed by a video of Thanos saying, “Fine, I’ll do it myself,” and a clip of Wolverine.
Gill was central to the GameStop saga during the COVID-19 pandemic. At the time, Reddit traders disrupted hedge funds profiting from shorting GameStop shares, resulting in the stock price soaring by over 1,000% in less than a month.
Following his return, GameStop shares surged by over 100%. Kobeissi Letter noted:
“Gamestop added $6 BILLION in market cap during today’s session…The stock is up 31% in after hours trading and 130% today. Gamestop is now one of the top 600 largest public companies in the US.”
Meme Coins Rally
Gill’s return has sparked a notable gain among meme coins. According to data from CryptoSlate’s top gainers list, lesser-known meme coins such as MOG Coin, Popcat, and Book of Meme dominated the list for the day.
Additionally, more popular meme coins like Dogecoin, Shiba Inu, Pepe, and Floki also saw substantial gains during this period.
Moreover, the “GameStop” token on Solana, bearing the GME ticker, has skyrocketed by an astounding 1,900% in the past 24 hours. Notably, blockchain analytical firm Arkham Intelligence identified a trader who made a substantial profit of over $500,000 from buying $30,000 of the Solana GME memecoin after Roaring Kitty resurfaced.
Meanwhile, crypto analyst Lookonchain suggested that the upcoming MEME season will be cat-themed because Roaring Kitty’s latest videos mentioned that “The Dog Days are Over, The Dog Days are Done,” and cats also appeared in the videos.
The analyst highlights a trend where prominent investors gravitate towards cat-themed meme coins like Popcat, Maneki, and Kitty, as evidenced by increased whale activity in these assets.
