The world's most famous digital currency, bitcoin, has realized that it is currently experiencing the latest waves of mania in speculating on one of the memes called "PEPE", which has exposed the bitcoin technology to severe stress.
Ethereum-compared to bitcoin-has dominated the bulk of recent innovations in digital assets, be it non-exchangeable tokens (NFTs), or decentralized financial transaction applications. The reason for this is that the basic software of Ethereum is considered to be more flexible and able to cope with large increases in activity without crashing or suffering from slowness.
Today, "babycoin" is witnessing a decline of 6.6% to 0.000001195 dollars, with a weekly decline of 17.8%, and monthly by 38%. But it's up 2,000% since its launch.
This comes in conjunction with the mass decline that digital currencies are experiencing during these moments of today's transactions.
Meme coins.. Enormous heights
Meme coins are distinctive digital tokens with a logo depicted in the form of a character or in the form of a mostly animated animal, and they may quickly become popular and significantly increase in value. Although they are of little use in practice, they can attract a large group of followers who Store or trade them.
There are hundreds of meme coins, some of them are almost worthless, others have a market value of 100 million dollars or more. Investors often flock to the newly minted "MIM" coin when it starts trading on digital exchanges, such as Coinbase or Robin Hood.
More recently, more than 420 trillion frog-themed "meme" coins - known as "Bibi" - have been issued in about a month and a few days.
The coin received huge publicity via Twitter before and after its release last April, and its market value jumped to more than a trillion dollars in May, before reversing course and deteriorating by more than 60% in the following days, according to the CoinMarketCap website.
Pressure on bitcoin
The majority of "meme" coins are issued, traded on the Ethereum blockchain. And " baby "is one of many coins minted not only on Ethereum, but on the bitcoin system.
The bitcoin community usually resents allowing such experiments to be carried out on tokens programmed on its own "blockchain" for fear of putting pressure on the network, therefore; such a step may have largely incalculable consequences. It also comes at a sensitive time for the largest brand in the crypto world, amid bitcoin's readiness to tighten the regulatory noose on it after the market setback in 2022 ousted a number of the biggest names in the sector.
The obsession with the "meme" currency has led to Bitcoin blockchain transaction fees rising to their highest levels in almost two years, creating a huge and sudden demand for "cryptocurrency mining companies" that produce new bitcoins by solving a set of complex mathematical puzzles using a set of high-performance computers. But if "meme" coins and similar innovations lead to increased activity on the Bitcoin network, this may lead to a huge increase in the cost of using them, weakening their attractiveness as a virtual alternative to traditional currencies, which is their main purpose.
The digital currency market today
The combined market capitalization of the crypto market during these moments of today's transactions amounted to about 1.13 trillion dollars. The volume of trades amounted to about 26.61 billion dollars.
Bitcoin has fallen by as much as 1% over the past 24 hours to now reach the levels of 26,833 dollars, while recording weekly losses of 3.9%. Its market capitalization has now reached 520 billion dollars.
"Ethereum", the largest digital currency in terms of market capitalization after bitcoin, fell by about 1.45% over the past 24 hours, reaching 1872 dollars, with weekly losses of 1.4%, and a market value of about 225 billion dollars.
While the price of Binance Coin fell by 1.8% to 301 dollars. The price of the Ripple XRP currency rose by 1.6% to 0.53349 dollars.
Cardano saw a drop to 0.3747, down 1.5%.
While the Dogecoin fell to the levels of 0.071734 dollars, with a weekly decline of up to 2%.