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Cryptocurrency News Articles

Meme Coin Market Takes a Hit Amid Growing Uncertainty

Jan 30, 2025 at 09:59 pm

DeepSeek's new DeepSeek-R1 AI model has captured global attention not only for its impressive capabilities, but also for its surprisingly low production cost.

Meme Coin Market Takes a Hit Amid Growing Uncertainty

Amid a broader downturn in the meme coin market, one cryptocurrency has defied the trend, quickly crossing $3 million in its initial coin offering (ICO).

DeepSeek’s new DeepSeek-R1 AI model has grabbed headlines not only for its capabilities but also for its surprisingly low production cost. While top AI models can cost anywhere from $100 million to over $1 billion to develop, DeepSeek reportedly spent around just $6 million on DeepSeek-R1.

This cost advantage quickly caught the attention of traditional markets, with investors anticipating a flood of cheaper AI solutions, leading them to short some of the largest chip manufacturers, such as Nvidia.

While Nvidia’s NVDA stock did rebound on Jan. 28 with a nearly $260 billion market cap recovery, it has yet to fully recoup its losses from earlier in the week.

Inevitably, this volatility spilled over into the crypto markets, with meme coins and AI-focused meme coins taking a hit.

The combined “AI meme coin” sector was hit particularly hard, shedding over 9% in the last 24 hours. Some tokens managed to claw back a portion of those losses, but the damage was already done — highlighting the importance of managing risk during volatile periods.

However, not every meme coin was left in the red, with some managing to post gains despite the broader downturn.

Dogwifhat rallied by over 10%, regaining its spot as the sixth-largest meme coin in the market by surpassing FLOKI in the rankings. Meanwhile, some low-cap coins, such as DOGMI, managed to post gains of over 650% amid this uncertainty.

This shows how some meme coins are still able to thrive — even during a downturn. As a result, many investors have begun searching for ways to diversify within the meme coin sector, hoping to capture the upside of some coins while mitigating the risk.

That’s where Meme Index steps in, grouping meme coins into risk-tiered baskets and offering a more balanced exposure.

Meme Index helps to manage meme coin price fluctuations by allowing users to spread their investments across curated lists of tokens (indexes, or “baskets”), which are carefully designed to match a range of risk profiles.

The Meme Titan Index includes top-tier meme coins with valuations above $1 billion, such as Dogecoin ($DOGE), Pepe ($PEPE), Shiba Inu ($SHIB), and even Official Trump ($TRUMP). It’s suitable for those wanting relatively lower volatility.

Next on the list is the Moonshot Index, which targets meme coins in the $250 million to under $1 billion range. These have a higher volatility than Titan but also have a higher upside because these tokens can surge into billion-dollar territory, yielding potential 4x (or greater) returns.

The Midcap Index includes meme coins valued between $50 million and $250 million. It allows for more aggressive plays that could net 4x to 20x returns, but it also carries an increased risk factor.

Finally, there’s the Meme Frenzy Index for extreme risk-takers. This index features newly launched tokens with the highest risk levels, but the successful ones could bring in 100x or more returns.

MEMEX is the key to accessing these indexes, as users take one token (MEMEX) and stake it in their choice of the aforementioned baskets. Holding MEMEX also gives you governance rights to decide which meme coins will be included or excluded from each basket as they get adjusted in the future.

Meme Index has also passed security audits by well-known firms such as Coinsult and SolidProof.

Popular analyst Austin Hilton recently highlighted how combining a strong governance model with growing utility could help MEMEX see 10x returns. This growth seems even more likely, especially after the planned exchange listings that could attract more investors.

To buy MEMEX, visit the Meme Index official presale website and connect your crypto wallet (like Best Wallet). You can buy the tokens by swapping them for ETH, USDT, BNB, or even a bank card.

Early buyers can also stake their MEMEX tokens for a high APY of up to 740% during the presale.

Disclaimer:info@kdj.com

The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!

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Other articles published on Jan 31, 2025