- GameStop and AMC saw sharp rises and falls, sparking debate about market trends.
- Meme coins have the potential to outperform meme stocks due to their perceived advantages.
The surge was short-lived. GameStop (GME), Solana [SOL] The base meme coin that soared after Roaring Kitty’s resurgence is now red.
according to coin market capGME witnessed a notable decline of 29.51% in the past 24 hours.
moreover, TradingView According to the data, AMC Entertainment Holdings (AMC) fell by 5.17%.
These developments have sparked heated debate among investors and analysts, especially in light of the staggering 75% and 89% jumps in GME and AMC on May 15th.
Why are executives disappointed?
Superstate CEO Robert Leshner offers similar insight in a recent article. conversation He said this on the podcast “The Chopping Block.”
“I feel sorry for the hedge funds and individuals who shorted GameStop and AMC. This is an irrational and inefficient market, and I don’t think anyone would call this an efficient or rational market.”
Adding to the disappointment, former SEC Chairman Jay Clayton made another statement. conversation CNBC said:
“It bothers me on many levels. This is much closer to gambling than trading, and definitely not investing.”
shocking social media trends
Well, the story doesn’t end here. The question arises how a tweet can have such a huge impact on market trends.
In response to the above concerns, Leshner said:
“The fact that a meme on Twitter drove a stock price from $15 to $80 in two days of trading should continue to scare people about the irrationality of financial markets.”
Echoing a similar sentiment, Clayton added:
“Are Tweets Really Investment Advice?” Over the past five years, we have learned that Tweets are not investment advice. ”
Amid this uncertainty, analysts are divided on whether investors will remain or whether the company will be delisted due to market manipulation concerns.
The future of meme coins is still bright
Despite this FUD (fear, uncertainty, doubt), Dragonfly partner Tom Schmidt added:
“The meme coin market is more orderly, there are no circuit breakers, you can log in at any time and you will never be blocked.”
Echoing similar sentiments, Haseeb Qureshi, Managing Partner at Dragonfly, said:
“Over time, people will focus less on trading meme stocks and more on trading meme coins simply because they are better.”
CoinGecko’s The data further supports this statement, showing that Meme has a market capitalization of $57.5 billion, with a change of 3.4% in the past 24 hours.
