The truth behind Floki Inu’s spectacular explosion

10:42 am ▪ 3 min read ▪ by Luc Jose A.

The Floki Inu memecoin is currently experiencing strong growth. Investors betting on this cryptocurrency inspired by Elon Musk’s dog are currently on cloud nine. As this uptrend continues, the community and market watchers are questioning its underlying dynamics. What are the factors behind the rise of this memecoin?

Roaring Kitty returns, Floki Inu soars

The Floki Inu cryptocurrency saw an impressive 17% increase in just 24 hours, outperforming many other memecoins such as Popcat and Pepe. This increase coincides with the return of Roaring Kitty. His real name is Keith Gill, the American analyst and investor who returned to posting cryptic videos on Twitter after three years of silence. His return appears to have rekindled interest in memecoins.

Roaring Kitty, known for its role in the 2021 GameStop short squeeze, has historically had a notable impact on financial and crypto markets. This influence remains evident, as can be seen by the market’s immediate reaction to his tweets. The memecoin market cooled during his 12-hour absence but exploded again upon his return. Although Roaring Kitty has suggested that the era of dog coins is over, Floki Inu, inspired by Elon Musk’s dog, continues to outperform.

Despite Roaring Kitty’s apparent preference for cat coins, Floki Inu stood out for outperforming most other non-canine tokens. Only the cryptocurrencies GME and Apu Apustaja, which increased by 34% and 19% respectively, surpassed Floki Inu in this period.

The Impact of the DAO Proposal for Floki Inu on the Rise of Crypto

The recently approved DAO proposal for Floki Inu led to the authorization to burn 15,246,000,000 of the FLOKI crypto, equivalent to approximately $3,386,773. This reduction in circulating supply is often seen as a positive sign by investors, as it can theoretically increase the value of the token by reducing supply and maintaining demand.

Token burning is commonly used in the crypto ecosystem to create upward pressure on prices by introducing artificial scarcity. In the case of Floki Inu, this strategy appears to have contributed to its remarkable market performance, along with the influence of the return of Roaring Kitty.

Floki Inu’s remarkable crypto performance, amplified by Roaring Kitty’s influential comeback and strategic token management decisions, clearly illustrates the power of media figures and community actions in the crypto market. This demonstrates the importance of management initiatives and community dynamics in the evolution of the value of digital assets.

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Lucas José A.

Graduated in Science from Toulouse and holder of a blockchain certification consultant delivered by Alyra, I am back on the Cointribune adventure in 2019. Harness the potential of blockchain to transform various sectors of the economy, and gain price engagement to raise awareness and inform the big public about this constantly evolving ecosystem. My goal is to enable you to better understand blockchain and take advantage of the opportunities it offers. I strive now to provide an objective of current affairs analysis, to decrypt market trends, to convey the latest technological innovations and to measure in perspective the economic and social countries of this revolution in March.

DISCLAIMER

The views, thoughts and opinions expressed in this article belong solely to the author and should not be considered investment advice. Do your own research before making any investment decisions.

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