A clear example of the ephemeral nature in the realm of cryptocurrencies is often seen with memecoins. Imagine that a new cryptocurrency called "DoggyRocket" appears out of nowhere. Thanks to a viral campaign on social media and the backing of some influential figures, its price skyrockets by 1000% in a matter of hours. Thousands of investors, driven by the fear of missing out (FOMO), buy DoggyRocket, convinced that it will be the next great success story.
However, within a few days, collective interest fades. Initial investors and the coin's creators sell their large amounts, causing a massive price drop. The initial euphoria turns into panic and losses. The existence of "DoggyRocket" proves to be ephemeral, a spike in popularity and value that lasts very little, leaving behind only a fleeting memory and a handful of empty wallets.
Does that sound familiar? ☝🏻