PolitiFi coin performs excellently in the crypto market

Recent data shows that the PolitiFi coin, inspired by political themes, has outperformed traditional meme coins in the market. These politically-related encryption currencies have achieved significant success against the backdrop of the upcoming US elections.

As the November presidential election approaches, crypto market speculators are speculating on the next presidential candidate in the United States. Let's take a closer look at the details of this phenomenon.

Analysis of PolitiFi Coin Market Performance

The latest market report shows that the so-called "PolitiFi coin" is taking the lead in the crypto market of meme coins. These cryptocurrencies are a subcategory of meme coins, inspired by political events and figures.

It is worth noting that these coins have no direct association with specific political figures and do not provide holders with any governance or practical application functions. Their value is purely speculative in nature, and prices are often influenced by market manipulation.

Despite these limitations, PolitiFi coin has still performed significantly better than traditional meme coins since the beginning of this year. Specifically, from January 1, 2024, to August 25, this category grew by 782.4%, while meme coins only grew by 90.2% during the same period.

As of recently, PolitiFi coin occupies 1.5% of the meme coin market, with a market capitalization of $68.08 billion. The total capital of the overall meme coin market is $45.6 billion, with DOGE, SHIB, and PEPE dominating.

On June 16, PolitiFi coin reached its peak, accounting for 3.3% of the market share, equivalent to a market value of $1.9 billion. Since then, the activity volume of this type of encryption currency has decreased by more than half, reflecting a decline in attention and speculative activity towards this type of token.

Overview of Major PolitiFi Coins

In the PolitiFi encryption market, the largest market cap is held by PEOPLE, with a market cap of $385.6 million as of August 25. The project was originally created by an organization aimed at raising funds to purchase the original U.S. Constitution. Although it failed to achieve its original intention, the coin continues to exist and has seen some success.

Since the beginning of the year, the valuation of PEOPLE has increased by 494.3%, from $64.9 million to $385.6 million. Its price surged from $0.012 to $0.13 (in mid-June), before falling back to the current $0.074.

The second most popular PolitiFi encryption coin is MAGA (TRUMP), which is a meme coin inspired by a well-known political figure. As of August 25, the market value of TRUMP is 178.9 million USD, and its price has increased by 1350.9% since the beginning of 2024.

It is worth mentioning that the peak moment of this cryptocurrency occurred in early June, when its market value reached 789.8 million USD. Since January 1, TRUMP coin has risen from 0.23 USD to a high of 17 USD, and then drastically dropped to the current 3.6 USD.

Other PolitiFi meme coins worth noting include BODEN and KAMA, themed around other political figures.

The Impact of the U.S. Election on PolitiFi Coin

Observing the chart of PolitiFi coins, it can be found that they reached their historical peak around June, followed by a three-month downward trend.

This trend may reflect a change in speculators' expectations regarding the upcoming election results. As the scenarios for the election results become more predictable, the potential for speculation decreases, leading to fewer trading opportunities.

In addition, the significant fluctuations in the value of certain tokens may have triggered complex investment sentiments in this field.

Future Outlook

From now on, the prospects for these PolitiFi cryptocurrencies are likely to continue the bear market trend, and many of these meme coins may eventually disappear. Their value is primarily linked to speculation related to the U.S. elections, and after the elections, they may lose their reason for existence.

In fact, after the next U.S. president is elected, speculators will no longer have a narrative to hype, so they may sell off the remaining token inventory.

Investors should approach these types of encryption products with caution, as they involve very high risks and are susceptible to ongoing market manipulation.