Just over one week on from legendary GameStop investor Roaring Kitty’s abrupt return to social media for the first time since 2021, the GameStop (GME) price has crashed, with retail investors asking whether now might be the time to buy the dip or sell GME.
The GameStop price rallied as high as $65 last Tuesday but has since crashed back to $22.
That leaves it barely 20% above its levels from before Roaring Kitty’s return.
Roaring Kitty was a leading figure in the 2021 meme stock craze, during which time GME was a leading stock.
The 2021 meme stock craze was viewed by many as a retail investor-led movement against Wall Street hegemony.
Hopes remain high amongst retail investors that Roaring Kitty’s return could catalyze a new meme stock season.
US Presidential candidate Robert F Kennedy even announced on Monday that he had invested $24,000 in GME.
BREAKING: US Presidential candidate Robert F. Kennedy Jr announces he has bought shares of GameStop, $GME. pic.twitter.com/QblIrW6mMj
— The Kobeissi Letter (@KobeissiLetter) May 21, 2024
But macro conditions likely don’t warrant a repeat of 2021 meme stock mania.
The US government isn’t currently handing out stimulus cheques.
And while US equity markets are pushing on to new record highs, interest rates remain at multi-decade highs.
Recent years of inflation plus high interest rates have put a major squeeze on retail investor spending firepower.
Also, there is good reason to be bearish on the GameStop price. GME is an inflationary asset – the company last week announced a new stock sale.
What’s this? GameStop plans to sell 45,000,000 shares of GME (approx. $900M at current prices)? How convenient! They’re totally not trying to exit scam this pump or anything! They’re DECENTRALIZING the shares! How altruistic! pic.twitter.com/jpez9ZB96k
— Autism Capital (@AutismCapital) May 17, 2024
Meanwhile, the company continues to run at a loss and cut jobs as it struggles with e-commerce competitors.
GME Investors Should Instead Consider Meme Coins
Traders looking to make speculative bets on assets that could see huge market hype-driven gains can do better than GME.
As noted above, the outlook for the GameStop price isn’t necessarily good as it has bad fundamentals and is inflationary.
Its also got a bloated market cap of around $6.5 billion.
For a company that probably isn’t worth anything in real life, that’s potentially a very large overvaluation.
And that reduces the likelihood of anything more than 5x gains this bull cycle.
Traders considering GME should instead consider crypto meme coins.
Top meme coins like Dogecoin, Shiba Inu and Pepe are likely to continue to grow as crypto technology is adopted.
However, their bloated market caps suggest that they also have limited room for upside.
Luckily, new meme coins are popping up every day. While most are scams or pump-and-dumps, savvy traders may be able to uncover hidden 100x gems.
One such coin that analysts at Cryptonews are very bullish on is Solana meme coin ICO Sealana (SEAL).
Sealana (SEAL) – The Best Solana Meme Coin ICO Right Now
South Park-themed Seal cartoon character Sealana has been generating huge excitement since launching its presale.
The new Solana meme coin ICO features an overweight, Solana meme coin trading degen seal called Sealana.
The loveable seal mascot has already attracted over $2.35 million in funds from early investors.
Strong demand is no surprise given the strong traction Sealana has been getting across socials.
Sealana has already garnered over 5,000 X followers, as well as over 5,000 on Telegram.
#Sealana and his closest bros are stormin’ the Capitol to defend all #Crypto patriots, Sealana and his $SEAL troops are fightin’ for our right to Lambos , Gains , and FREEDOM!!
Stand with Sealana! Join the #Presale, and restore the former glory of #Memecoins! pic.twitter.com/Sv1fGVm8ry
— Sealana (@Sealana_Token) May 20, 2024
Sealana’s marketing and presale success is reminiscent of the recently launched Solana meme coin Slothana (SLOTH).
Slothana raised over $15 million in a similar presale. However, it then went on to pump to a market cap of over $100 million, as per DEXTools.
Presale investors were up over 5x within just a few days of the token’s launch. That more than could likely be expected from the GameStop price in the near future.
SLOTH also just launched on the top-ten crypto exchange HTX. This could lead to a new push higher in its price as new retail investors flood in.
Amid rumors that the Slothana and Sealana teams are related, traders will hope SEAL’s success matches SLOTH’s.
If Sealana can quickly secure exchange listings post-launch like SLOTH, it could easily be the best new Solana meme coin ICO to buy right now.
Y’all listen up!
When #Sealana said “MAKE AMERICA GREAT AGAIN”, he meant we gotta finish buildin’ that god darn wall!
Creatin’ a land of prosperity where all American $SEALS can shoot guns, drink drive, and leave the trailer park behind!
Join the #Presale, bag some… pic.twitter.com/GldZlorvvB
— Sealana (@Sealana_Token) May 17, 2024
Investors can buy their SEAL by connecting their web3 wallet on Sealana’s official website with SOL, ETH, USDT, or USDC. Sealana is also available for purchase via card.
The post GameStop Price Crashes, Buy The Dip Or Sell GME? This Solana Meme Coin ICO Raises appeared first on Cryptonews.