Homework Question

• Homework Tasks
• 1). Why Meme Tokens could be one type of cryptocurrency that will have a big impact on the cryptocurrency market in 2021?

• 2). Do you think Meme Tokens is a type of cryptocurrency that shouldn't need to be created?

• 3). If you had to choose to invest or trade on Meme Tokens, which would you choose? Explain your choice in detail and provide strong evidence for your choice.

• 4). Choose a Meme Token (except Dogecoin and Shiba Inu) and do an analysis of the Meme Token with the following conditions:

• If in question number 3 you choose to invest, then do a detailed fundamental analysis of the Meme Token you choose to prove that the Meme Token of your choice is a good investment tool. (Screenshot Required)

• If in question number 3 you choose to trade, then do trade using a small capital or using a demo account. Show how you trade based on the information you get and explain the supporting indicators you will use. (Screenshot Required)

• 5). Conclusion.

Introduction

Good Day Steemians , I will be responding to Hometask given by professor @wahyunahrul , Thank you for this wonderful topic which is base on the " meme tokens"

• Question 1
• Why meme token could be one type of cryptocurrency that will have a big impact on the cryptocurrency market in 2021?
  

Why meme token could be one type of cryptocurrency that will have a big impact on the cryptocurrency market in 2021?

A meme coin actually is a cryptocurrency that was created base on meme (joke). It was built for the purpose of fun meme.
But the most influential meme coin is Dogecoin, A cryptocurrency built based on Doge meme but we still so many other meme coin like Shiba Inu, Akita Inu, Safemoon etc. But trend is now changing coarse in crypto world in 2021, the coin that was actually created for the sake of fun is gaining ground and the use case is on the high increase.

The first ever meme coin that was created is Dogecoin in the year 2013 and now it has gain ground among other meme token. The coin was not so popular until Elon Musk showed interest in it and and the story about Dodge coin changed entirely.

Elon Musk declared full interest in the coin which made the token price get to a new all-time high in 2021, that got attention of so many people and popularity of Doge change the fate of so many other meme coins.

Now there are thousand meme coin in the crypto world and so many persons are now investing in meme token like Safemoon and shiba etc and so many person are saving them with aim of high reward. The more people invest one particular coin, the more the price will increment.

• Question 2
• Do you think Meme Tokens is a type of cryptocurrency that shouldn't need to be created?

Meme invention is really a nice idea because it will increase the market cap and also contribute to the growth of blockchain technology in general but the major challenge of meme coin is that meme coin is on a high increase in circulation which would give room for production new meme coin to follow suit.

List of meme tokens in order of market cap from coinmarketcap

Base on the above image , I showed the coin with a high circulating supply and they include the Dogelon Mars coin and Tiger king coin, Butif you take a closer look at the mona coin, which has the least circulating supply, the price is more than $1 and also the most expensive.

shiba inu line chart using 1 year time frame from coinmarketcap

I am of the opinion that meme coin will still do well but any organization creating any memecoin, should think about the future of the coin not just creating coin for creating sake , they should think about the use case. for instance Shiba inu inventor had no prior plan about the coin when it comes to use case but they managed to find a way to manover.
I still have faith in meme coin but more energy should be channeled into improving the purpose and use case of that coin to get the attention of traders and investors.

• Question 3
• If you had to choose to invest or trade on Meme Tokens, which would you choose? Explain your choice in detail and provide strong evidence for your choice.

I would gladly choose investing over trading because it's more beneficial. I am not saying investing in meme tokens is not risky but I strongly believe trading is riskier than investing in a meme coin which has a strong background wisely is safer for me than trading which is just 50:50 chance.

Investing, gives more opportunities eg staking of coins to earn more or even change to non fund-able token. Some meme tokens do not have solid background in crypto space small issue lead to huge loss while trading the coin.

Investing will give me the opportunity to ride off short-loss, and give me the room to build up my meme coin over a long period of time.

• Question 4
• Choose a Meme Token (except Dogecoin and Shiba Inu) and do an analysis of the Meme Token with the following conditions:
  If in question number 3 you choose to invest, then do a detailed fundamental analysis of the Meme Token you choose to prove that the Meme Token of your choice is a good investment tool. (Screenshot Required)

Before investing on any coin you need to carefully study coin. Do a proper analysis of the coin you want to invest in. I will be analyzing safemoon token.

Source

SafeMoon was launched in March 2021 and slogan for SafeMoon was "Safely to the moon", which took it's inspiration from a well known phrase which implies "To the moon" meaning "to rise in price fast". After it was released SafeMoon millions holders.

State of Safemoon in Crypto Market

Source

The SafeMoon price today is $$0.000002232 USD with a 24-hour trading volume of $7,,836,973 USD. SafeMoon is up -19.96% in the last 24 hours. The current CoinMarketCap ranking is #209, with a live market cap of $1,308,922,416.82 USD. It has a circulating supply of 585,536,366,402,812 SAFEMOON coins and the max. supply is not available

Source

The above image is where the Market cap and other details where gotten from.

Source

The above image is the trading view of safemoon coin. From the movement you can see an upward movement of the coin.

Benefit of using safemoon

• Safemoon have launched it's non-custodial wallet which can be use for exchanges and and saving of Cryptos.
• Safemoon organization has develop a safemoon Swap where you can exchange any BSC token with one another, even duo the work is still in progress.

Conclusion

At first , i didn't actually take meme coin serious because of the purpose behind the creation.But things have changed entirely the coin that was created for fun have gain popularity and people are now taking it serious serious . Inestors are making real cash from it.

Am Grateful professor @wahyunahrul for this Great lecture.