GameStop is a digital asset that has its stock and crypto variations, and both saw a massive spike after the return of a retail trader. There was a growth of over 3,000 percent for the memecoin equivalent of GameStop. In this article, we will explore what happened to the GameStop shares and memecoin and what led to the massive increase in the two digital assets.
GameStop Follows Stock Footsteps with a Massive 3,000% Surge
GameStop shares made history after seeing a massive rebound in the stock market, bringing its two-day gains to more than 134%. Apparently, the recent development was a result of the unexpected return of the retail investor “Roaring Kitty” after a three-year disappearance. Roaring Kitty, also known as Keith Gill, made a return to social media on X after posting a photo of a gamer.
Immediately after the massive surge ensued in the stock market, the crypto equivalent of GameStop shares, GameStop Token, took off, surging by more than 3000%. It was Roaring Kitty who had led the resurgence of memecoins during the 2021 bull market. Thus, there are speculations that the same thing might happen. Coupled with the fact that memecoins such as Pepe and the GameStop Token have remained profitable within the past few days. In fact, Pepe is having an incredible time in the market after recording more than 130% in the last 30 days.
Can GameStop Replicate the 2021 Bull Market?
eToro market analyst Josh Gilbert told Cointelegraph that GameStop shares might not have the same effect it had on the memecoin market in 2021. Apparently, Gilbert said it was quite true that GameStop is having an incredible short term on the price of memecoin cryptocurrencies and the stock market. However, he doubts if there’s going to be longevity in all of these.
In his words, he said:
“The environment is just not comparable to 2021 when interest rates were at rock bottom, governments were providing fiscal stimulus globally, and major economies had little to no inflation.”
Nevertheless, pseudonymous trader Travis believes that many crypto and degen traders will continue trading with GameStop, especially when the token is available on decentralized crypto exchanges like Robinhood.
GameStop’s Current Market Analysis
After the massive rally it had back on May 13th and 14th, the GameStop Token is having some retracement in the market, dropping by more than 3% at press time. Nevertheless, the token is still holding on to the majority of its gains in the past few days. For instance, there’s still more than a 2000% surge in the monthly chart of this token. However, on the weekly chart, there’s still over 3,000% increase. Moreover, other metrics, such as the market valuation and the trading volume, saw a high spike. At press time, the market cap was at more than $100 million, while the trading volume was over $170 million.
Conclusion
GameStop shares caused a massive rumble in the stock market after the return of Roaring Kitty, also known as Keith Gill, on social media. So, it made the price of the stock shares increase by more than 134%. However, it also had an incredible effect on the crypto equivalent of GameStop, increasing its price by over 3,000%. Furthermore, other metrics, such as the market valuation and the trading volume of the GameStop memecoin, surged to new levels. Nevertheless, some analysts, such as eToro market analyst Josh Gilbert, tell traders to exercise caution.
Cover Image Source From Microsoft Designer
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from cryptonewsbytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from the company.
