Investing in the Meme Economy: Why Investors Prefer Jokes

In the era of innovation, technological breakthroughs, and inventions like artificial intelligence, it seems logical that crypto enthusiasts interested in the world of Web3 should pay more attention to significant projects. However, paradoxically, many of them choose meme projects that win people's hearts.

In today's article, Coinmooner will talk about a new report from one of the world's most popular crypto exchanges, Bybit. According to the latest data, Bybit ranks fourth in the world, trailing only Binance, OKX, and Coinbase. According to their report, the popularity of meme tokens among investors is confirmed by the collected data.

Bybit analysts noted the growing popularity of meme tokens among both institutional and retail investors in their market report for the period from January to May. They rely on data on the volumes of such assets in the portfolios of their users. For example, from February to March, the volume of meme token holdings among institutional investors grew by 226%.

Coinmooner analyzed recent changes in the meme token market using data from the Bybit exchange. The value of these tokens in institutional portfolios reached $204 million at the beginning of the year, then rose to $293.7 million in April, but by the end of May, it dropped to $139 million due to aggressive selling. Despite this, the indicator remains 125% higher than the initial level. Retail investors also showed a significant increase in meme token holdings by 478% by April, but later reduced their value from $567 million to $371 million.

Additionally, it is known that as of May 1st, DOGE remains the preferred meme token for both groups: 36.17% among institutions and 24.58% among retail investors. Retail investors allocate 4% of their portfolios to meme tokens, while institutions allocate 2.5%. Both market segments prefer to invest in well-known and established meme coins, despite differences in strategies.

From the provided data, it is evident that in 2024, users prefer quick gains amidst meme token popularity. However, the market also shows growing interest in other directions such as CEX, DEX, SocialFi, DeFi, and others. Our Coinmooner team will carefully monitor these changes and timely inform our readers about all shifts.

Furthermore, we want to emphasize that in the Web3 industry, it is crucial to always verify information from multiple sources and employ advanced security methods to ensure maximum financial security.