- According to CoinGecko data, the market capitalization of memecoins is currently $58 billion, having increased by 10% during the past 24 hours.
- In comparison, the market capitalization of all cryptocurrencies grew by 5.5% over that time, while the price of bitcoin saw a 6% gain.
Memecoins’ market capitalization has risen by more than 10% in the last day, outpacing the growth of the entire cryptocurrency market.
Approximately 77% of the approximately $58 billion total memecoin market capitalization is made up of the top five memecoins by market capitalization in the CoinGecko memecoin market capitalization category.
Shiba Inu has seen one of the most significant rallies in the last 24 hours among the top five memecoins. The Block’s Price Page indicates that the token has traded at a rate of more than 7% throughout that period and 12% over the last week.
Prominent memecoins like floki, pepe, and dogecoin saw weekly increases of 6%, 28%, and 24%, respectively. By comparison, the prices page of The Block shows that the two most popular cryptocurrencies, ether and bitcoin, climbed by 0.3% and about 8%, respectively.
Quick money transfer to meme coins
Wintermute researchers claim that memecoins will continue to be the major focus of rapid money.
The analysts mentioned that $PEPE, $BONK, $FLOKI, and $SHIB -2.39% show this.
Popular cryptocurrency trader DonAlt, however, warned that investors with portfolios heavily invested in iterations of dog- or cat-themed coins might suffer significant losses. DonAlt suggested in an X post on Wednesday that while the rest of the crypto market may remain stable, he expects significant losses for memecoins.
Personally, I think the meme era is finished. The rest of the market may recover, but if your portfolio contains more than ten variations of dogs or cats, I anticipate memes to giga rug GL, DonAlt said.
DonAlt was supported by some members of the cryptocurrency market, but disagreements existed on both sides.
Broader crypto market rallies following a lower inflation report
Due to the upward price trajectory of digital assets following the release of Wednesday’s Consumer Price Index data, the broader cryptocurrency market also saw a surge in the last 24 hours. “We saw the bitcoin price increase by about 2.5% immediately following news that April CPI came in lower at 3.4% with core CPI at 3.6% – both in line with expectations,” analysts at Bitfinex stated.
Investors view the weaker inflation number, which is the first drop in CPI inflation in the previous three months and follows the U.S. Federal Reserve’s announcement that it will be tapering its quantitative tightening, as a bullish regime transition, according to Bitfinex analysts.
In the last two months, the CPI print has created local tops and thus this is perceived as being a favorable print for risk assets, and has had the opposite effect, Bitfinex analyst stated.
They emphasized, meanwhile, that inflation is still more than 3%, and on Tuesday, figures from the Producer Price Index indicated a monthly increase for the third consecutive month. The Bitfinex experts clarified that while a lower inflation statistic is excellent news, investors will need to wait and see if the Fed views this as sufficient reason to drop rates.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
