Solana Dominates In Uncertain Market

GM, Anon!

We’re just 10 days away from the elections, and the market seems to be holding its breath, waiting to see how the results unfold. A Trump victory could send our bags to Valhalla, likely triggering an insane rally that could push BTC to new highs. On the other hand, a Kamala Harris win might introduce uncertainty, causing the market to dip and consolidate as investors assess her policies. Remember, markets dislike uncertainty, so we’ll have to wait and see how things play out.

From what we’re seeing on Polymarket, Trump seems to have the upper hand—but only time will tell how accurate these predictions are. Stay tuned, anon.

By the way, have you joined The Coiners yet?

What’s holding you back, anon? Another member just posted about how they didn’t regret it—and neither will you. Jump in today by clicking the button below… oh, and did we mention? It’s free!

TLDR 

• BTC ETF Inflows: Positive inflows support bullish sentiment despite volatility

• BTC Dominance at 60%: Altcoins may be near their bottom, hinting at a potential alt season

• ETH/BTC at Yearly Lows: Further ETH declines possible unless sentiment shifts

• Solana Leads: SOL gained 12% while ETH underperformed and SUI pulled back 7%.

• Pump.fun Rebound: October activity surged, aligning with new token announcements

• AI Memecoins on Solana: Solana solidifies its role as a hub for AI memecoin experimentation

• Magic Eden Airdrop: Airdrop incoming; engaged users likely eligible for rewards

Crypto Macro

ETFs

Moving on, BTC ETF inflows have remained mostly positive, helping to boost market sentiment despite ongoing choppy price action. While volatility persists, the steady inflows indicate that institutions and retail investors alike are positioning themselves for a possible breakout.

ETH ETF flows were slightly positive this week, but overall, there isn’t much of significance to report yet. It’s surprising just how negative sentiment around ETH has been throughout this cycle, especially compared to previous ones. Despite some small inflows, the market remains cautious, with enthusiasm for ETH far below expectations, even after developments like the launch of the ETH ETF.

BTC Dominance

Historically, BTC dominance tends to peak around 60%, marking a critical point where altcoins are typically at their lowest. When BTC dominance reaches these levels, it often indicates that Bitcoin has absorbed most of the capital in the crypto market, leaving little room for alts to perform. However, once dominance stabilizes or reverses, it signals the potential for an altcoin season. This pattern suggests that many altcoins could be near their bottoms, making this a key period for investors looking to rotate into alts before the next market rally.

ETH/BTC

The ETH/BTC pair has now hit its lowest levels of the year, reflecting continued weakness in ETH compared to BTC. The ongoing downward trajectory raises the question: Will we see a reversal soon? For now, the technical indicators show lower lows and lower highs, reinforcing a bearish outlook. A potential reversal would require a significant shift in market sentiment, possibly triggered by major catalysts. Until then, ETH holders may face more downside risk, with BTC continuing to absorb market liquidity and dominance.

Coin Moves

Majors

Looking at the Majors This Week, Solana has been the star of the show. While BTC remained choppy, ETH continued to underperform, and SUI saw a 7% pullback following its recent parabolic rally. In contrast, SOL appreciated by 12%, showing resilience as neutral market conditions had little effect on its momentum.

Let’s dive into some metrics around the Solana ecosystem. 

Solana's active addresses continue to soar, driven by its position as the leading ecosystem for meme-related activity. This surge highlights how Solana has emerged as the go-to platform for memecoins, thanks to its fast, low-cost transactions and expanding developer support. As meme tokens dominate narratives across the market, Solana’s robust infrastructure has cemented its role as a hub for these high-velocity trends.

In an impressive development, Solana generated more fees than Ethereum over the past 7 days. This surge in fees suggests growing traction, and there are no signs of this trend slowing down. Solana’s ability to attract more network activity positions it as a serious competitor to Ethereum, reinforcing its momentum in the current market.

Coupled with this, a large portion of the fees are being generated by Jito and Raydium, protocols built on top of Solana. Let’s take a closer look at Jito, which is responsible for the majority of these fees.

If you’ve got some extra SOL lying around, why not stake it on Jito and earn a 8% yield while putting your assets to work?

Another giant on Solana worth taking a look at is Pump.fun.

Pump.fun Returns with a Vengeance & Some Alpha Wallets to Follow

Pump.fun has rebounded strongly in October after a dip in activity during September. This resurgence aligns with the announcement of its forthcoming token, expected to drive even more engagement on the platform.

Since its launch in January 2024, Pump.fun has facilitated the creation of over 2.6M tokens, leveraging Solana’s low fees to attract creators and traders.

Pump.fun has achieved over $151M in total revenue, averaging $1.6M per day in October 2024. It has sold $70M worth of SOL since launch, establishing itself as a major revenue generator on Solana. However, critics note its role as a significant value extractor, with competition emerging from platforms like SunPump on TRON​.

New Features Being Rolled Out on Pump.fun

1. Pump Advanced Trading Terminal
   A professional-grade platform featuring mini-charts, top holder stats, advanced filters, and real-time social activity threads. Trades will be fee-free for the first 30 days to encourage early adoption, with enhanced security via Privy integration for non-custodial wallet logins.

2. Video Tokenization
   This new feature links tokens to viral videos, boosting token value through content virality. While innovative, it raises questions about the distinction between memecoins and NFTs and potential copyright issues.

3. Upcoming Token Launch & Airdrop
   A native token launch is planned, with airdrops for early adopters and top traders to foster community engagement and liquidity, though specific launch details are still under wraps.

4. Incentives Amid Market Challenges
   In response to a 98.5% token failure rate on Solana’s Raydium exchange, Pump.fun offers $80 bonuses to developers who successfully launch tokens, aiming to reduce rug pulls and improve launch quality.

Impact on the Industry

With these advancements, Pump.fun is redefining the memecoin space by integrating media content and introducing innovative trading tools. The video tokenization feature could transform how digital content interacts with blockchain, making Pump.fun a key player in merging viral content with token economies. However, the platform’s sustainability will depend on addressing challenges related to token quality and market risks.

Some alpha wallets to follow who are killing it on Pump.fun:

• j1opmdubY84LUeidrPCsSGskTCYmeJVzds1UWm6nngb - One of the best performing wallets, realizing $6.5M in profit

• BKgZ3SAdmJ8ubmL9KRYh3PKGWyEA44gc9cksrq8FfxSG - $2M realized profit 

• 9KmDrXuRL349F8YVnnUuhY3ADxy1KzGkh8kbfMqMpAje - $1.9M realized profit

• 4DdrfiDHpmx55i4SPssxVzS9ZaKLb8qr45NKY9Er9nNh - $1.6M realized profit

• 8EF5bGFRzxPRskAnBYB36xPXBDxDEvf6ECvPXVX5wo3i - $1.5M realized profit

Apechain

In the past two weeks, ApeCoin (APE) has surged by 61.8%, setting the stage for the latest developments around ApeChain.

ApeCoin DAO officially launched ApeChain, a Layer 3 blockchain built on Arbitrum Orbit to improve scalability and expand the Bored Ape Yacht Club ecosystem. Originally considered as a standalone chain, the DAO chose to connect with Ethereum for better accessibility and compatibility.

ApeChain introduced automatic yield rewards for ApeCoin holders, eliminating manual staking. It also integrates LayerZero’s OFT standard to enable seamless cross-chain transactions. Additionally, Yuga Labs launched Top Trader, a game offering 1,000x leverage in a risk-free environment, boosting ecosystem engagement.

Memes

If you’re still not convinced that we’re in the memecoin supercycle, you probably won’t be until it’s too late, anon. But let me give you some more evidence. Memecoins have dominated the crypto narrative landscape over the last 90 days, consistently leading the charts. Week after week, the top-performing assets are overwhelmingly memes, solidifying their place at the forefront of market trends.

DEX bot trading volumes have been increasing rapidly, with Solana emerging as the dominant ecosystem driving the majority of this growth.

Before diving into the core of this section, let’s first explore the Ordinals and Rune ecosystems, which, until recently, were seeing significant activity. Most major ordinal collections have experienced sharp pullbacks, with the notable exception of Based Angels, which has recently surged up the charts.

Most Runes have followed a similar trend, with the majority of collections seeing a decline. However, GIZMO has become the standout within the Rune ecosystem, generating considerable noise. This recent pullback might offer a great entry point for interested traders. Additionally, keep an eye on POOKA, another rising favorite that’s gaining traction.

The public mint of Casey Rodarmor’s new Rune collection, Memento Mori, is currently the center of attention in the Rune ecosystem. As the creator of the Rune standard, Rodarmor’s involvement is driving significant anticipation, with many expecting this collection to become one of the biggest in the ecosystem. For more details, follow the source link to the image below, as this event is shaping up to be a landmark moment for Runes.

Shifting focus to this week’s standout major memecoins, POPCAT, MEW, and DOGE have captured significant attention. MEW's market cap surged to $1B, while POPCAT hit a new all-time high, crossing the $1.5B mark. Meanwhile, Doge has maintained its momentum, rallying by 28% over the past 14 days.

Lastly, keep an eye on Magic Eden’s upcoming airdrop. They’re currently testing the token, and all signs point to an official launch happening soon. If you’ve used Magic Eden for any transactions, there’s a good chance you qualify for the drop. This could be one of the most lucrative airdrops of this cycle, given Magic Eden's central role across multiple ecosystems.

Magic Eden has been at the forefront of major developments, including ApeChain, Berachain, and the Bitcoin ecosystem with ordinals and runes. They’ve consistently been a hub of activity, making this airdrop one to watch closely. Check out the post below for more details and stay ready—it could be a game-changer.

Now Onto the Star of the Show: AI Memecoins

Last week, we touched on the AI memecoin trend GOAT (Goatseus Maximus) after it surged to over $500M, only to suffer a 50% pullback on Monday, raising doubts about whether this narrative was just another flash in the pan. However, GOAT’s dramatic rebound within just a couple of days has made it clear that this is no fleeting trend but an emerging strong meta in the current market cycle.

As this meta gains momentum, Solana has become the playground for AI-powered experimentation. Its fast, low-cost transactions and developer-friendly environment make it the ideal platform for launching and trading these high-risk, high-reward tokens. Solana is currently seen as the hub for speculative AI-driven assets.

Let’s start at the beginning, then offer some plays and strategies to explore if you want to become actively involved in this meta.

GOAT: The Coin That Started It All

The GOAT contract was launched on October 10th, which then almost immediately took the crypto world by storm, reaching a $513M market cap by October 19th. Shortly after, the token experienced a sharp 50% retracement, driven by a typo on Truth Terminal, the AI agent managing the project.

However, on October 21st, GOAT staged a stunning recovery, soaring to a new peak of $860M by October 24th. The rapid sequence of rise, crash, and resurgence caught the market off guard, underscoring just how quickly this new AI-driven narrative is unfolding.

The AI bot Truth Terminal, developed by Andy Ayrey, plays a unique role by autonomously managing all aspects of GOAT, from social media interactions to token promotions. With no human intervention, this bot exemplifies how AI can influence financial markets in real-time. A pivotal moment came when Marc Andreessen of Andreessen Horowitz donated $50K in Bitcoin to Truth Terminal, giving the project both legitimacy and momentum. This endorsement fuelled an 8,000% price surge.

For an in-depth read on the timeline of events from the inception of this project earlier in the year, check out this post by Redphone.

This is another great resource on how this all got started.

Lastly, check out this interview with Andreessen to dive even deeper.

Adding to the coin’s success, influential figures like Arthur Hayes publicly backed the project, further amplifying GOAT's visibility and market appeal. With each new endorsement, AI memecoins are proving to be more than a fleeting trend, drawing increasing attention from both retail and institutional players.

This dynamic rise shows that AI-powered tokens like GOAT are not just riding a wave of hype—they are setting the stage for a new speculative paradigm in crypto markets. 

Following GOAT’s success, other AI-driven coins like GNON quickly gained traction, crossing $100M in market cap. This has led to numerous AI memecoins being launched within days, leading to thousands of users, including major smart money wallets piling into. 

Here are some of the most popular AI memecoins with market cap in brackets, some have heavily retraced while others are still surging. 

• FARTCOIN ($51.2M)

• GNON ($34.6M)

• ACT ($27.4M)

• FOREST ($22.1M)

• SHOGGOTH ($18.8M)

• LOS ($16.2M)

• WMM ($15.6M)

• LUNA ($15.5M)

• KIBSHI ($10.4M)

• E/ACC ($10M)

• PROJECT ($9.8M)

• MEMESAI ($9.4M)

• CATGF ($9.3M)

• WORM ($7.8M)

• FLAVIA ($6.4M)

• FLOYDAI ($6.2M)

• MEDUSA ($5.7M)

• OMEGA ($4.9M)

• HANA ($4.2M)

• SCOOP ($4M)

• OPUS ($4M)

• GMika ($2.1M)

• CLAUDIUS ($1.4M)

• GPT2 ($1.5M)

• VIORA ($1.2M)

• DEGENAI ($862K)

According to ChainEDGE, smart money has shown significant interest in AI-powered memecoins, particularly in GOAT, GNON, Fartcoin, Flavia, and WMM.  However, smart money investors have also begun selling off substantial positions, likely locking in profits after the initial rallies.

How to Play the AI Memecoin Trend

To make the most of this AI memecoin meta, here’s how to position yourself:

1. Create a Watchlist on Dexscreener
   Track the coins mentioned in this post to monitor their price action and catch potential breakouts. Having a real-time watchlist gives you an edge.

2. Prepare for Cross-Chain Rotations
   The crypto market rotates frequently, and we’re likely to see AI-driven memes popping up across multiple blockchains. Keep a close eye on Base, Tron, and Ethereum, as well as potential moves on Sui and Aptos. While these platforms might not see the same magnitude as Solana, quick rotations could offer lucrative short-term opportunities.

3. Watch for Competitors to GOAT
   Just as DOGE sparked SHIB’s rise and inspired a wave of cat-themed coins, we could soon see a rival to GOAT emerge. Traders may pump another AI meme coin to compete at the same level, mimicking familiar patterns from previous memecoin cycles. Staying alert for these new entrants could present early entry points for traders.

That wraps up today's insights! We hope you enjoyed today’s issue! Till next time anon.