Typically, meme coins don’t gain on fundamentals. Instead, they are usually driven by an internet-based joke.
SafeMoon's native token collapsed in price by more than 20% following the issues.
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The original cryptocurrency, Bitcoin, is a capped cryptocurrency. This means after 21 million Bitcoins are mined, no more will be mined.
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Dogecoin, which was initially set up as a joke in 2012 before seeing its shares skyrocket, has also dropped while Solana has seen its market price rise by more than 8%.
Currently, the price of Safemoon is hovering around the $0.0000014 level. This is around 90% down from the heights the coin reached in April 2021.
The hype surrounding popular memecoin Dogecoin had appeared to diminish recently as new altcoins took centre stage.
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Stambaugh, R. F., J. Yu, and Y. Yuan (2012), “The short of it: Investor sentiment and anomalies”, Journal of Financial Economics 104 (2), 288–302.
Even though the current downside move is sure to shock some investors, slight corrections after reaching new all-time highs are a customary practice for Bitcoin.
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Responding to regulatory pressure, Binance has curbed some services on cryptocurrency bets, highly leveraged positions and trading with tokens linked to shares, and has pledged to beef up its compliance staffing.
The token is listed on over 12 crypto exchanges and posted a 3% drop in price over the past 24 hours.
If buyers sustain the price above $67,000, the BTC/USDT pair could pick up momentum and accelerate to the next target objective at $75,000. A break and close above this resistance may open the doors for a possible rally to $89,476.12.