Ready to ride the memecoin wave? 🌊 Meet SocialScan’s Memecoin Trading Agent
The Rise of Memecoins
Memecoins have a rich history in crypto space and are currently experiencing unprecedented popularity. Recent months have witnessed explosive growth across various memecoins:
- $PEPE surged 400% to a $5.2 billion market cap in less than a year.
- $BRETT launched on Base and achieved a remarkable market cap of over $1.5 billion.
- $WIF gained viral fame on Crypto Twitter, skyrocketing over 20x since the beginning of the year to a market cap of approximately $3 billion.
Memecoin has the potential for swift wealth generation, fostering a widespread FOMO sentiment across the market. Memecoins serve as an accessible entry point, breaking down barriers and encouraging more people to explore the Web3 space.
Memecoins attract communities of holders who rally around shared interests, memes, and online culture. Participating in these communities can give individuals a sense of belonging, camaraderie, and shared purpose.
Solana stands out as a favoured platform for trading memecoins among non-EVM chains, offering a tremendous vibe. Base has emerged as a focal point within EVM chains, experiencing a surge in meme-related activities.
Memecoins Driving Network Activity
Memecoins play a pivotal role in enhancing activity within networks, fostering a symbiotic relationship that boosts engagement and participation. Projects like DEGEN, friend.tech, and BRETT have contributed to sustained on-chain activities on the Base network, solidifying its reputation as a vibrant social hub.
Since the memecoin trend took off in March, there has been a rapid growth in the number of transactions and daily active users. Specifically, March saw a significant surge with the network’s transactions increasing 5x and active user growth rising 9x. This dramatic uptick underscores the powerful impact of memecoins on blockchain activity and user engagement.
Memecoin Trading Analysis on Uniswap
Uniswap stands as the primary platform for memecoin trading, making it essential to analyze its data to gauge the memecoin trading landscape.
- Daily Traded Pools
Trading memecoins on-chain is permissionless, allowing anyone to launch a token and facilitating open trading for all participants. The chart below illustrates the daily traded pools on Uniswap across various blockchain networks.
Notably, the number of traded pools on Base surpasses that of any other chain, reaching an average of 23k traded pools per week. This underscores the robust diversity of memecoins available on Base and highlights its role as a preferred chain for memecoin trading and engagement.
- New User Growth
Since March, there has been a great surge in new user growth on the Base chain compared to other chains. Weekly new user additions on Uniswap have ranged impressively from 37k to 197k. The influx of new users underscores the growing popularity of memecoins on the Base chain.
- Average Initial Trading Size
Memecoins offer a low barrier to entry, enabling broad participation. Unlike traditional financial markets that often demand significant capital or institutional access, memecoin trading empowers individuals who engage with online communities. Also given the significant volatility of memecoins, individuals typically invest small sums. This accessibility allows people to enjoy memecoin trading with minimal financial commitment.
On Uniswap on Base, the average initial trade size ranges from tens to hundreds of dollars. In contrast, on Ethereum mainnet, trading larger amounts is often necessary to cover the substantial gas fees incurred per transaction.
- Leader in Memecoin Trading
Examining the number of trades on Uniswap across various chains, Base emerges as the leader when excluding Ethereum. This dominance indicates Base’s vibrant ecosystem, where a wide range of memecoins are actively traded.
This appeal extends across different communities within the cryptocurrency space, highlighting Base as a dynamic platform for memecoin enthusiasts seeking engagement and opportunity.
Navigating Memecoins: Challenges and Solutions
Despite Base being a powerhouse for memecoin trading, evaluating a memecoin remains challenging for enthusiasts and traders. Typically, memecoins have limited information available in their early stages and rely heavily on word-of-mouth within the community.
Platforms like Dexscreener can provide token prices but often lack the comprehensive insights needed for data-driven decisions. Fortunately, since memecoin data is primarily traded on-chain in its early stages, having an onchain analysis tool is invaluable. Also, it is hard to manage your memecoin portfolio and have a clear sense of your entry price, PnL etc.
To address this need, SocialScan has developed the Memecoin Trading Agent. This AI agent is able to aggregate all on-chain information for any memecoin on Base, empowering traders with the data they need to make informed decisions. By providing a clear view of onchain activity, the Memecoin Trading Agent enables anyone to trade smart.
Trade with Memecoin Agent
To get started, navigate to SocialScan’s AI Agent hub, where you’ll find the Memecoin Trading Agent.
Connect Your Wallet and View Your Portfolio
Once you connect your wallet, the Agent will display your memecoin portfolio. This includes key information such as the average price, current price, market cap value of the token, and realized PnL.
The easy-to-use interface allows you to quickly understand your portfolio’s performance.
Interact with the AI Agent
As an AI-driven tool, you can ask the Agent anything about memecoin projects.
For your convenience, it features the three most relevant questions at the bottom for quick access.
Additionally, you can type in any other questions through the input box to get the specific information you need.
Explore Early Opportunities
If you are exploring early opportunities, you can simply ask, “Please tell me the top market cap meme coins that smart money are buying with a minimum market cap of $10M.”
The Agent will list the top 5 tokens that meet your criteria, along with their price changes, market cap, and the number of holders.
Furthermore, it will show how many Smart Money, identified by SocialScan AI, are holding each token.
Dive Deeper into Specific Tokens
If you are particularly interested in one token, simply click the arrow or ask the Agent for more details. The Agent will provide comprehensive information about the token, including its price, market cap, 24-hour volume, number of holders, and token distribution.
The distribution data helps indicate the centralization of the token, which is a key risk factor when trading memecoins. Additionally, the Agent will provide the cost distribution, giving you a clear picture of the early adopters’ costs. Knowing others’ costs is crucial for making informed financial decisions.
Utilize Smart Money Tracking
If you don’t have a clear idea of what to trade, smart money tracking can be very helpful. You can ask the Agent, “Please show me top 10 PNL smart money.” The Agent will then display the smart money investors with the highest PnL.
By clicking on a profile, you can see the assets they have traded and where they made significant profits. Since different smart money investors have different strategies, this data helps you understand their trading styles and decide whether to follow their lead.
About SocialScan
SocialScan is Community-owned AI reimagining web3 UX through customizable AI agents. It is a showcase application built on top of the Hemera Protocol, the hyper performant AI-ready account-centric indexing network. Users of SocialScan can participate in activities to improve LLM capabilities, consequently gaining ownership according to their individual contributions. SocialScan is trusted by industry-leading blockchain platforms, including Polygon, Linea, Chainlink, Manta Network, Mantle Network, and ZetaChain.
