Dynamics of MemeCoin Markets
This analysis navigates the roller-coaster ride of meme coins, tracking their market performance, trading trends, and exchange flows to shed light on their growing influence in the crypto economy.
In recent years, the cryptocurrency landscape has been significantly reshaped by the advent of meme coins - cryptocurrencies that were originally started as a joke or meme but have since gained considerable popularity and market value. With notable examples such as Dogecoin ($DOGE) and Shiba Inu ($SHIB), meme coins have captured the public's attention and sparked serious conversation about the nature of value and the potential of decentralized finance.
In this analysis, we delve into the market dynamics of several notable meme coins, including $BOB, $BONK, $Elon, $LADYS, $PEPE, $SHIB, $TURBO, $WOJAK, and $CHAD. Using data from Ethereum and Solana blockchain transactions, we examine these coins from various perspectives - price action, trading activity, flow through centralized exchanges (CEXs), and their impact on the broader crypto ecosystem.
Our aim is to shed light on the factors driving the surge in meme coin popularity, their market performance relative to traditional cryptocurrencies, and their overall role in the crypto economy. This study seeks to provide valuable insights not only for investors and traders but also for anyone interested in the social and economic implications of this new breed of cryptocurrencies.
In the following sections, we explore various aspects of meme coin markets, including price trends and correlations, holder behavior, trading statistics, CEX flows, and more. Each section is designed to provide a comprehensive view of the meme coin phenomenon, from the macro-level market trends to the micro-level trading behaviors.
Data Source:
The primary data sources used are the ethereum.core.fact_hourly_token_prices, ethereum.core.ez_dex_swaps, solana.core.fact_swaps, and solana.core.fact_token_prices_hourly tables. These tables provide detailed data on token prices, swap transactions, and token prices on different blockchain networks.
Tab 2: Price & Hodlers
We calculate the price action of each meme coin over the last Month, and their correlation with Ethereum's price. This is done by fetching the daily price of each token and calculating the percentage change compared to the first day. The correlation with Ethereum's price is calculated using the SQL CORR() function. The number of holders for each meme coin and the average holding amount is calculated by counting distinct wallet addresses holding each token and the average balance held.
Tab 3: Trading Stats
We analyze the swap statistics for each meme coin over the last Month. This includes metrics like the total swap volume, number of traders, and average swap size. These metrics are calculated by aggregating the swap transaction data from the ez_dex_swaps table.
Tab 4: CEX Flow
We analyze the inflow and outflow of meme coins going through Centralized Exchanges (CEXs) over the last Month. This is done by tracking the volume of each meme coin being transferred to and from CEX addresses. We also count the number of users transferring their tokens between wallets and CEXs.
Tab 5: Investigations
We answer several questions about meme coins: We identify the top destinations for meme coins by aggregating the transaction data by recipient address. We compare the performance of new meme coins against older ones by tracking their price and swap volume in their first 30 days of existence. We calculate the percentage of Ethereum Mainnet transaction fees that are related to meme coin transfers. This is done by aggregating the transaction fee data for meme coin transfers and dividing it by the total transaction fees on the Ethereum Mainnet.
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