Meme cryptocurrencies prove themselves lucrative investments
Summing up the performance of the crypto market for the whole of 2021, analysts define it as crazy. Indeed, the 2021 year was loaded with events viewed as market catalysts or indirectly related to digital tokens. In the early 2022, crypto investors are puzzled about the prospects of the market for the year ahead. Last year, the flagship cryptocurrency closely approached the all-time high of $70,000. The overall market capitalization of the meme coins zoomed up to $1 billion. The first exchange-traded fund linked to bitcoin made its successful debut on Wall Street. On the flip side, Beijing cracked down on the crypto industry, having squeezed mining firms and crypto exchange platforms out of the country. By and large, the crypto market had never been on such a dizzy roller coaster throughout the whole 2021 despite its common volatility. Since the beginning of the year, both institutional and retail investors reviewed their portfolios allocating a large share for digital tokens. Cryptocurrencies grabbed the headlines and became one of the most frequently searched for words in the Web. No wonder, a lot of new investors jumped on the crypto bandwagon. Obeying the stay-home directive, a great number of traders decided to invest spare funds in crypto assets, even though financial watchdogs warned about their extreme volatility.
Experts pointed out the phenomenon of the enormous popularity of meme cryptocurrencies. Joseph Edwards, head of research at Enigma Securities and a crypto broker, said the phenomenon has to do with the mobility of finance. Indeed, traders are poised to invest their idle money in the pure speculative assets like Dogecoin and Shiba Inu.