When bitcoin is making ground to the upside, the memecoins are usually not far behind. This niche has now become part and parcel of the crypto landscape, and $WIF is fast becoming the crowd favourite among them.
The crypto sector contains all sorts
Much to the chagrin of the more serious-minded crypto investors, who probably only back bitcoin, and perhaps some of the more fundamentally sound altcoins, yet another successful run for the memecoins could be about to take place.
Of course, they are right in most respects. Bitcoin is the epicentre of the crypto sector, and what it provides to the world’s citizenry is something that isn’t yet appreciated by the vast majority. And the sooner this is realised, and more people are able to be saved from a financial perspective, as well as that of monetary freedom, the better it will be for the entire planet.
Having said that, it is good to acknowledge that the crypto space is a colourful and extremely varied place. From the solidity of bitcoin, there is a whole gamut of altcoins that have the potential to carry out tremendously important functions in all sorts of niches, and not just that of finance.
Memecoins lumped in with scams
However, a new asset class of just a few short years is bound to have teething problems, and exacerbated by the US financial watchdog agency, the Securities and Exchange Commission (SEC) failing to do its job and effectively police the sector, all sorts of scams and fraudulent projects have been allowed to flourish.
A problem here is that memecoins have been lumped in with the scams. It has taken a while for most to realise that memecoins are an expression of culture in the altcoin space. As long as it is accepted that memecoins have absolutely no intrinsic value, and that they are being traded for fun, is there any harm in this?
Courts are busy applying the law
Some might say that there is, especially for those who enter gung ho into memecoins and get badly burnt. Could these same uneducated traders later complain to the authorities that crypto took them for a ride and took their money as well?
A similar thing happened with investors who took Coinbase to court, arguing that the huge crypto company advertised and sold them unregistered securities. The court found otherwise, and agreed with Coinbase that sales of cryptocurrencies on the secondary market did not violate securities exchange law.
There will certainly be crypto projects that are operating outside of the law, and it would be hoped that the enforcement agencies can get their act together, stop trying to bring down legitimate projects, and go after these fraudsters instead.
Nanny society persists
Nevertheless, there is still an issue here, and it’s an issue that permeates our nanny society. People are still apt to make mistakes financially, just as they have throughout history. However, does that mean that enforcement agencies should play the role of an overbearing big brother and shut the average Joe and Jane out of finance completely?
Given the opportunity, they would certainly like to do so. The same thing has happened in traditional finance, where the average person is prohibited from entering a playground reserved for the wealthy, who happily reside in the category of “accredited investor” or “high wealth individual”.
For all that, crypto is still relatively free for participation by everyone. Although governments and their enforcement agencies, cheered on by the banks, would dearly love to change this arrangement.
$WIF worth a punt?
Therefore, back to the memecoins, which are still there to be traded, at least for the time being. A punt on a memecoin such as $WIF could make someone a few bob if they have any luck. With a market cap of $4 billion, it is still some way behind the top memecoin in Dogecoin, $DOGE, which boasts a market capitalisation of $29 billion.
Be that as it may, $WIF is a fast train at the moment, and it looks like it has become a favourite among the more educated traders, as well as the less savvy.
Source: Coingecko/Trading View
Looking at $WIF on the daily time frame, it can be observed that the price is in a definite uptrend. Taking into account that nothing is certain in trading, one might take a cultured bet that this trend will continue. At least this is arguably better than the roulette wheel or a throw of the dice, and at least most people are still allowed to take a punt.
With some governments actively blocking access to crypto exchanges for their citizens, it may be that this particular freedom may not be so for that much longer.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
