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The crypto market has all the time been identified for its volatility, however that is significantly true in the case of meme coins like Dogecoin and Pepe. These cash are extremely speculative and sometimes lack any intrinsic worth, which makes them topic to excessive value swings.

Dogecoin, also called DOGE, hit its lowest value when it briefly attained a value of $0.0000869 on May 7, 2015. On the opposite hand, it attained its highest value on May 8, 2021, with a value of $0.682 per Dogecoin. Its value has fallen considerably within the final 7 days, down by 7.29% however nonetheless has a market cap of $10,137,034,921.

Similarly, the worth of the PEPE token has additionally been extremely risky. It is down 10.96% within the final 24 hours regardless of the five hundred% surge previously two weeks. The value of PEPE has already misplaced 50% of its most worth simply after the biggest crypto exchange Binance introduced the itemizing of the meme coin. Since then, the worth of PEPE has decreased quickly from $0.0000044 to $0.0000022, at present $0.000002003.

What Helps With Crypto Volatility?

Given this excessive volatility, it’s vital for buyers to method meme cash with warning and observe sound funding ideas. This is the place Venn Link CEO Cici Lu’s recommendation on the crypto portfolio wants a highlight.

At the Bloomberg Wealth Asia Summit 2023 in Hong Kong on May 9, 2023, Venn Link CEO Cici Lu shared her ideas on the risky nature of crypto belongings.

According to Lu, “When it comes to investing in crypto assets, it’s really important to have diversification and active management.”

She emphasised that diversification and energetic administration are key ideas that buyers ought to observe when investing in crypto belongings, significantly within the risky meme coin market.

Different crypto belongings usually react in a different way to market modifications, so diversifying investments throughout them may help mitigate losses. Active administration includes repeatedly monitoring and adjusting funding portfolios in response to market modifications to maximise returns and decrease threat.

In the case of meme cash, diversification can imply investing in different cryptocurrencies with extra established monitor data and fewer volatility, reminiscent of Bitcoin and Ethereum. By doing so, buyers can scale back the chance of placing all their eggs in a single basket and struggling vital losses.

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The introduced content material might embrace the non-public opinion of the creator and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The creator or the publication doesn’t maintain any accountability to your private monetary loss.