Meme Token Prices Tumble as GameStop Stock Retreats

IconCryptoNewsTerminal Staff11 Jun, 2024

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Meme Token Prices Tumble as GameStop Stock Retreats

Meme tokens, which have been surging in value alongside GameStop (GME) stock, have seen their prices plummet as GME shares have declined for two consecutive days. According to CoinDesk, GME reached a two-year high of $61 last Thursday (local time) but closed Monday at $24.89, a 62% decrease. The namesake token GME, which had surged 200% over the past week, has also fallen 25% during this period. Other cat meme tokens, such as KITTY, have declined by at least 10%. DOGE, SHIB, and FLOKI have lost between 4% and 10% compared to last week's prices. Experts believe that the drop in meme token prices is likely due to the sell-off in GME stock, which has been fueled by profit-taking and short-selling. As GME shares have become less valuable, investors have been cashing out their meme token holdings as well. It remains to be seen whether the decline in meme token prices will continue or if these tokens will rebound once GME stock stabilizes. However, the recent sell-off serves as a reminder that meme tokens are highly speculative investments and that their value can fluctuate wildly.

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