The meme coin market is rapidly growing in line with the increase in addresses on the underlying blockchains. A striking example is the crypto meme BONK and the addresses on Solana.
The meme coin market is growing like the addresses on the underlying blockchains
According to Franklin Templeton’s Digital Assets team, it seems that the meme coin market is growing in parallel with the growth of addresses on the underlying blockchains.
“The value between Meme coins and their native networks”
Basically, the giant of traditional finance argues that there is a real correlation between the surge in price of meme coins and the growth of users’ portfolios on the blockchains on which they develop.
All this happens despite the lack of intrinsic value of crypto memes.
The striking example reported by Franklin Templeton concerns BONK, the meme coin developed on Solana. Here’s what the company says about it:
“In the last year, the cryptocurrency markets have seen a parabolic surge of several meme coins, in particular BONK, based on Solana, in the fourth quarter of 2023. The daily active user addresses on Solana have increased by 75% quarter over quarter”
Specifically, traders see this surge in meme coins as a way to bet on the growth of its underlying blockchain.
The meme coin market: price rally and address growth on Solana
At the time of writing, looking at the meme coin category on CoinMarketCap, it seems that the “green” is dominating the scene.
And indeed, the main cryptos Dogecoin, Shiba Inu and Pepe, are respectively experiencing price pumps of +23%, +7% and +50% in the last seven days.
Descending from the podium, then, there are dogwifhat (WIF), Floki (FLOKI) and Bonk (BONK) who, in the last seven days, have seen their price pump of +89%, +116% and +26%.
Looking at the monthly chart of some of these main meme coins, it is possible to see that both WIF and BONK, based on the Solana blockchain, are riding the bullish wave of the crypto market.
WIF is up +627%, with the price going from $0.38 to $3.31, while BONK is up +166%, with the price going from $0.000012 to $0.000036.
By analyzing the growth of the number of monthly addresses on the Solana blockchain, it is possible to notice that in February there were 12.49 million new addresses, while in this month of March (still ongoing) there are already 8.59 million new addresses.
Without going into specifics, the increase is also experienced by the ecosystem Ethereum, on which FLOKI, PEPE, SHIB and many other meme cryptos are based.
The performance of Dogecoin
Recently, it has been analyzed how, while BTC continued its rally, Dogecoin and Shiba Inu would experience a price retracement.
Anyway, at the time of writing, the main crypto meme DOGE is in ninth place in the overall crypto ranking, with a total market cap of 26.69 billion dollars.
Certainly, while BTC is surpassing its historical price highs, DOGE which is now worth 0.18$ is still far from its own.
Indeed, DOGE’s All-Time High or ATH is $0.58 and was reached in May 2021. In this last month of the general crypto bull run, DOGE managed to reach its price peak at $0.20, precisely on March 5th.