The world of memecoins has been experiencing a flurry of activity lately, with a significant increase of over 9% on October 6th— marking its highest surge this month.
However, as of the latest update, the total market capitalization of memecoins was currently sitting at a modest $52.7 billion, showing a slight dip of 1.7% in the past 24 hours.
SUNDOG Emerges as a Hot Topic
Amidst this scenario, a number of dog-themed memecoins have been grabbing attention, notably Sundog [SUNDOG] which has been making waves.
SUNDOG witnessed a 9% rise in its value within the last day, defying the memecoin market’s downward trend, according to CoinGecko data.
The spike was accentuated by Ty Dolla’s recent acquisition of half a million SUNDOG tokens, signaling robust investor interest even during volatile market conditions.
For the uninitiated, SUNDOG is a memecoin that was launched on the TRON network.
Reactions from the Community
Given this significant whale activity, Justin Sun, the founder of TRON, shared his views on the matter, emphasizing the growing appeal of this emerging asset.
In response to Ty Dolla, he mentioned,
“Welcome to the Tron family!”
Nevertheless, the cryptocurrency community seemed surprised by this development, as observed by Nate Rivers, a user, who remarked,
“Weird way to promote imo @justinsuntron. These guys have no motion these days.”
Another user named Eric Cryptoman expressed,
However, not everyone shared the same sentiment, as highlighted by Ray Trapani,
“More celebrities should follow suit rather than launching their own tokens. Sundog is a top-tier asset, deserving nothing but praise. Hopefully, even a fraction of his fans will discover this and delve into the world of crypto.”
This underscores the trend of celebrity-endorsed memecoins, which often generate excitement upon release but tend to fade rapidly hours later. In many respects, such a trend mirrors a classic “pump-and-dump” scheme.
Celebrity Memecoins – A Risky Move?
Addressing this concern, Vitalik Buterin, the co-founder of Ethereum, had previously expressed his disapproval of the proliferation of these star-backed tokens.
He stressed the urgent need for more substantial and pertinent projects in the cryptocurrency space to drive genuine innovation, as opposed to transient trends.
He stated,
“I’m quite disappointed with this cycle of celebrity experimentation so far. I can respect ‘financialization as a means to an end’ if the end is valuable (such as healthcare, open-source software, art, etc.).”
Price Evaluation of SUNDOG
An analysis conducted by CryptoCrypto on TradingView indicated that the token’s trading activity was influenced by its Relative Strength Index (RSI), currently hovering around the 46 mark— signaling a bearish sentiment below the neutral level.
Despite this technical analysis, community sentiment, as reported by CoinMarketCap, displayed a more positive stance. In this case, bullish sentiments seemed to outweigh the bearish ones.
This disparity implies that while technical indicators may hint at caution, the overall community sentiment remains optimistic about SUNDOG’s potential in the memecoin space.