The price of some big so-called memecoins—cryptocurrencies such as dogecoin and shib inu—that rocketed over the last two years have crashed back in recent months but have held onto some of their gains better than many had expected—helped by Tesla billionaire Elon Musk.
Now, a solana-based cryptocurrency called bonk that’s also based on the shib inu doge meme is trying to recreate the success of earlier memecoins—racking up a 2,500% price rally despite the devastating crypto crash that’s plunged the biggest crypto companies into crisis.
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“We’re here to reward everyone that made solana what it is today,” bonk developers posted to Twitter last month.
Bonk’s huge rally, soaring by around 2,500% since its December 25 launch and 150% in the last 24 hours alone, has been helped by a so-called airdrop that’s seen free tokens distributed to solana developers and solana-based non-fungible token (NFT) collectors. Some 50% of bonk’s 56 trillion supply was sent out over the last week.
However, bonk is unlikely to hold onto these gains, despite several solana NFT projects moving to integrate bonk. Over the last year, various viral cryptocurrencies have burst onto the scene, briefly burning brightly but ultimately leaving investors out of pocket.
Squid game, a cryptocurrency inspired by but unaffiliated with the wildly popular Korean-language Netflix
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Dogecoin, the largest memecoin with a market capitalization of almost $10 billion, has held onto much of its price increase but has only been sustained by tangental support from Tesla billionaire and Twitter owner Elon Musk. Over the last two years, Musk has declared himself the “dogefather” and promised to put a dogecoin on the moon via his rocket company SpaceX.
Meanwhile, some crypto market watchers think the more developed crypto market could be in for a rally, with non-bitcoin cryptocurrencies, sometimes called altcoins, potentially making the biggest moves.
“These are new signs that the prolonged sideways slide is ending, and one should be prepared for higher volatility, and this time it may be the altcoins that come to life first, not bitcoin,” Alex Kuptsikevich, FxPro senior market analyst, wrote in emailed comments.