Cryptocurrency analyst Murad Makhmudov predicts a “memecoin supercycle” that could completely change the crypto landscape in the coming years.
What Happened: In a recent podcast, Mahmudov shared an unconventional theory as to why meme coins are poised to outperform traditional crypto assets. He argues that the cryptocurrency industry is primarily an “asset production and speculation industry” rather than a technology-first sector.
Analysts believe that memecoins are not just a passing trend, but represent a fundamental shift in how retail investors approach cryptocurrencies. “I am a community maximalist,” he says, emphasizing the importance of a strong and passionate community in increasing the value of a token.
Makhmudov introduces the concept of “cults” to cryptocurrencies, defining them as “really, really strong communities.” He explains, “If you don’t make the poor rich, if you don’t make the middle class richer, you don’t have a community.”
Mahmudov said that while Defi can exist with or without a token attached, “the best product in cryptocurrency needs a token, but the best token in cryptocurrency doesn’t need a product.” He cited examples such as Pump.fun and Polymarket. Although there are tokens, the best performers such as Pepe PEPE/USD, Dogwifhat WIF/USD, and Popcat POPCAT/USD do not have products.
ALSO READ: ‘Meme Coin Supercycle’ Means 13 of Top 20 Great Tokens Are Memes: Shiva, Will Dogecoin Reach $100 Billion First?
Why it matters: Mahmudov noted that “all Binance listings” this year have declined except for two, both of which are related to meme coins. Binance has listed around 50 cryptocurrencies this year, but only two are trading at higher prices. One of them is Dogwifhat and the other is Jupiter JUP/USD which uses meme coin infrastructure.
Mahmudov also revealed that among the nine to 10 altcoins he owned, he had a small bag of Dogecoin DOGE/USD in 2017, which he sold in 2018. And again, he traded DOGE in 2021. At that time, it was a super spike season. dog coin However, from the beginning of 2024, he began to understand meme coins not only by looking at the momentum of transactions, but also from the perspective of first principles.
Looking to the future, Mahmudov predicts a shift “from jokes to serious memes” and the emergence of “movement coins” that represent abstract concepts and philosophies. He says, “There will be meme coins that represent everything.”
Despite his bullish outlook for memecoins, Mahmudov warns that “99% of people in the memecoin industry are scammers” and advises investors to look for projects with organic and decentralized communities. I am doing it.
What’s next: The impact of meme coins will be thoroughly explored at Benzinga’s Future of Digital Assets event on November 19th.
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