Keith Gill, more popularly known online as ‘Roaring Kitty’, returned to Reddit after a long-tenured absence to let users of the r/Superstonk subreddit know about their recent $115.7 million worth purchase of 5 million GameStop (GME) stocks. They are often attributed as the user that facilitated the GME short squeeze that sent GME stocks surging at a time when institutions were short-selling the stocks.
This unforgettable phenomenon occurred during the COVID-19 pandemic on r/wallstreetbets and gave rise to the term ‘meme stocks’. Another meme stock of the time was AMC – its price, too, was driven to the moon in 2020, alongside GME’s price.
If the hype-driven investing pattern seems familiar, it is because it is. Crypto degens often do the same with memecoins, driving up hype and, in turn, the prices of these assets. The GME saga bled into the crypto industry, with price actions of leading memecoins like DOGE and SHIB rising tremendously, taking their prices to massive heights.
Roaring Kitty’s return to Reddit using their u/DeepFuckingValue account, with a screenshot of their investment, sent GME’s price up 19% in overnight trading. It went up to $27.58 in 20 minutes after their post on Monday.
Keith Gill/Roaring Kitty/DeepFuckingValue’s screenshot posted on Reddit’s r/Superstonk
This event can be the start of another meme stock frenzy, with many Reddit users, newcomers, and meme stock enthusiasts gearing to inflate GME and other meme stock prices using hype. If anything can be said about history, it is that it repeats. So, a rejuvenation in meme stock activity will result in growing meme coin trading and climbing prices.
Meme coins have performed impressively the past few months alongside other crypto assets. PEPE, BOME, and other meme-based digital assets have already made massive sums for those getting in on them at the right time. If predictions come true, the holders of those memecoins can get even richer.
Image by Sergei Tokmakov, Esq. https://Terms.Law from Pixabay
