Last Updated: March 11, 2025 by Michael Kahn. Published: March 11, 2025.
Meme coins are outstandingly popular these days when it comes to the vast crypto market. They’re often the ones luring investors in and convincing them to partake in market movements. One of the important things to realize is that they’re dependent on social media attention. Such platforms help promote and push them higher and higher – or take them down.
Among the top cryptos made famous through social media forces is Dogecoin, with its symbol “DOGE”. News abounds with information regarding the Dogecoin price since it’s so popular and wildly bought, and its standing can impact market performances.
If you’re staying connected with the news and spending considerable time on social media, you have a thing you need to invest in meme coins. You’ll need, however, more information in this regard to improve your decision-making, so let’s discover more.
An overview
Meme tokens have managed to become a different phenomenon within their segment, pointing out the forces promoting an attention economy. With an endless amount of information on the doorstep, the most valuable resource thus sought, and increasingly scarcer, is attention. Meme tokens profit off of this dynamic by generating viral chronicles with which online communities resonate. Telegram, Instagram, TikTok, X (ex-Twitter), and other similar heavyweight platforms have a crucial role in magnifying these narratives, promoting and successfully boosting meme coins’ adoption through symbolism, comedy, and cultural references. Therefore, these tokens work more as financial tools that capitalize on the world’s attention than as vehicles for tech breakthroughs.
The difference
Unlike cryptos like governance tokens or stablecoins, meme ones are created as services or products themselves, lacking a specific utility. This contributes to the speculative nature of the market and draws investors who want to profit from the generated opportunities. Speculative investments are characteristically risky but offer the possibility of making profits in today’s environment, where steep inflation and geopolitical conflicts make it hard to keep money’s value in check.
More types of investors
Meme coins’ viral nature creates a feedback loop that brings in more and more participants due to the continuously rising public interest. There are more types of investors, depending on how much each pours into crypto. These range from small-scale investors buying units of pricey or cheap tokens to considerable stakeholders whose investments combined contribute to the market price movements, aka “whales.” This dynamic shows how meme coin prices can be impacted by the intersection between market speculation and social media hype. Much of the effect tends to be powered by FOMO, short for the fear of missing out.
Fear of wishful thinking
FOMO is a large contributor to crypto market price performances, pointing to the anxiety investors have when they miss “golden” opportunities to make some money off of an investment. It’s a common feeling that you should recognize and manage if you ever stress about a lost chance to profit from a hyped-up crypto. This psychological phenomenon is pushing many to invest in risky ventures and have their expectations broken.
And since we’re here, it’s helpful to jot down FUD as another psychological force ruling over the market. Short for fear, uncertainty, and doubt, these emotions often emerge from insufficient confidence in a specific crypto’s future potential or misunderstandings. Market drops in the bulk of cryptocurrencies usually cause it. It can also be a marketing strategy employed to disseminate insecurity and fear among investors and traders. As with FOMO, a lack of education and precaution can have disastrous aftereffects that are generally directly proportional to the amount of money injected. They differ – FUD pushes one to hastily sell assets with potential, whereas FOMO makes one hurriedly buy a meme coin or crypto in itself out of wishful thinking.
How to deal FOMO and FUD
According to studies, those aged between 18 and 35 are more predisposed to fall victim to FOMO than other age group categories. Overcoming these troublesome feelings boils down to learning how to control emotions. Thus, it requires some education. You can take on various investment approaches, like the following, to improve your emotional strength:
- Diversification. Known as the golden rule in crypto trading, diversifying your portfolio by investing in more meme coins is key to minimizing risks. You can diversify across more asset classes and industries, such as S&P500, gold, energy, etc. This approach helps you fight against the FOMO, even if this is the exact reason you invest in a meme coin or other investment vehicle in the first place. If you’ve put all your eggs in a single basket, it might be high time you reconsidered your move.
- HODL. You can also consider holding assets for the long term to combat FUD and FOMO, but you need a clear strategy in mind. This means that you should realistically determine your objectives and set attainable milestones. No matter if your goal is to attain a certain price tag or profit goal, such a strategy can help you stay calm during market downturns and navigate tough times without losing future money.
- Remain informed. It’s essential to stay up to date with geopolitical events, financial changes, industry developments, and so on to minimize the risks of being caught off guard by an asset that loses liquidity. Similarly important is to use the right news sources and tools. You’d probably avoid getting overwhelmed with endless streams of information on topics that aren’t of interest. Misinformation can push a newcomer to make disappointing decisions.
- Research. Similarly important is the research conducted before investing in a meme coin. Coming across it on threads or feeds isn’t enough to guarantee the security of a potential investment. There are rug pulls that occur via social media attention and hype and many other malevolent strategies you want to keep at bay.
Lastly, meme coins are processed by already-popular networks.
Solana and Base are two of the most popular blockchain networks. One factor contributing to their global popularity is that they’re pioneers in meme coin trading. They are also some of the best in terms of affordability and rapidity.
Solana can support up to 65K transactions per second, offering the necessary infrastructure in this agglomerated market. Some tokens have also been launched on the network, promoting it and catapulting it to global prominence. If you’re seasoned in crypto trading, you’ve likely heard about Solana often.