Pumping the market: the most basic promotion method for meme coins
TechFlow Selected TechFlow Selected
Pumping the market: the most basic promotion method for meme coins
The standard for choosing quality meme coins is simple: if it's listed on a centralized exchange, it's worth buying!
Navigating Web3 tides with focused insights
Came across an image that shocked me for half a year.
This is an image disclosed by a certain exchange on social media. Even though I was mentally prepared for the volatility of Meme coins, my preparation clearly wasn't enough.
As shown in the image, the gains of three Meme coins are particularly astonishing, with maximum increases of 77 million times, 6 million times, and 360,000 times respectively. Below are screenshots of these three tokens on this exchange. From the data trend, we can see that although these tokens experienced sharp spikes, ordinary users still had ample opportunity to enter early and achieve solid returns.
Pump: The Most Direct Promotion for Meme Coins
In the past, significant surges in Meme coins required either a well-connected and powerful whale or a meme concept highly aligned with current trends. Today, the logic behind Meme coin surges is straightforward: pump first. Early K-line patterns now determine a Meme coin’s survival cycle and future growth potential. The strength of the pump mainly depends on the influence of KOL endorsements, market followers’ execution, user traffic support, and eventually, whether the token gets listed on centralized exchanges—all of which impact price movements to varying degrees.
For instance, the tokens shown above started at humble prices like $1 or $0.1, yet reached highs in the tens of thousands. Even without cashing out at the peak, selling at any point would yield substantial profits. Moreover, even if you didn’t buy in at the very beginning, returns could still be impressive—especially ARAS. This kind of chart pattern is extremely attractive to users.
Hyper-Competition: It's Extremely Cutthroat
Data shows that on "pump.fun," a platform dedicated to creating Meme coins, over 1.67 million tokens have been issued—and the number keeps growing. However, only about 1.41% of these tokens eventually make it to Raydium, Solana’s decentralized finance protocol, and even fewer reach centralized exchanges.
The existence of pump.fun has drastically lowered the barrier to launching tokens. Anyone can deploy a Meme coin quickly by providing just a name, ticker symbol, and JPG image, for less than $2 in fees. No initial capital is required—the liquidity pool can be funded collectively by the community. With such a user-friendly environment, it naturally attracts massive participation. Numerous celebrities—including Caitlyn Jenner, Iggy Azalea, and Jason Derulo—have used their own images to create and promote crypto tokens via pump.fun.
Token oversupply, inconsistent project quality, and frequent rug pulls have led to the rise of CTOs (Community Takeover), promoting clearer prospects for community self-governance and collective decision-making. This also contributes to greater decentralization of Meme coins, attracting more market participants into the space.
Everything Can Be Memed
The root of mass-produced Meme coins lies in the idea that everything can be turned into a meme. As the Olympics wind down, numerous Olympic-themed Meme coins have emerged. Turkish shooter Dikec, known for his casual attire during competition, won a silver medal and became an internet sensation. Endowed with multiple meme-worthy traits, he inspired the creation of related tokens: DIKEC and DAO. The data for DIKEC on Solana and Ethereum chains are shown below.
Beyond DIKEC, Meme coins have also appeared for South Korean shooter Kim Yeji, 31, Italian boxer Angela Carini, and even the Paris Olympics mascot.
Besides celebrity-driven memes, social hot topics and famous quotes also spawn numerous Meme coins, along with animal-themed coins and parody tokens.
In Q2 2024, the Meme coin market continued the momentum from Q1, demonstrating broad market potential and vitality. According to CoinGecko statistics, the average return rate for Meme coins in Q2 reached as high as 789.3%. While lower than Q1’s 1312.6%, this figure still far exceeds returns from other cryptocurrency sectors.
In fact, the sustained popularity of Meme coins reflects not only innovation within the crypto space but also a profound challenge and transformation of traditional crypto ecosystems. From isolated concepts to today’s “everything can be memed” reality, this trend has enriched market diversity and greatly stimulated creativity and imagination among participants. With gains reaching tens of millions of times, the Meme coin market has undoubtedly become a paradigm of high-risk, high-reward investing. However, we must also recognize that as issuance barriers drop and token counts surge, internal competition intensifies and hyper-competition worsens. Under such circumstances, only through technological innovation, stronger oversight, and advancement of community governance and collective decision-making can we ensure healthy development and unlock further potential in the Meme coin market.
To sum up, returning to the image at the start of this article, the criterion for selecting quality Meme coins from 1.67 million options is actually simple: if it’s listed on a centralized exchange, it’s worth buying!
Join TechFlow official community to stay tuned
Telegram:https://t.me/TechFlowDaily
X (Twitter):https://x.com/TechFlowPost
X (Twitter) EN:https://x.com/BlockFlow_News
