Top five memecoins, which make up approximately 77% of the total market value of meme tokens, have experienced a significant decline in value. According to CoinMarketCap data, Dogecoin (DOGE) has decreased by 2.54%, Shiba Inu (SHIB) has dropped by over 4.55%, Pepe (PEPE) has fallen by 2.20%, Dogwifhat (WIF) has seen a decline of 1.52%, and FLOKI has decreased by more than 8.18% in the past 24 hours.
The decline is linked to the tendency of memecoins to follow stock market movements. Specifically, the controversial GameStop (GME) stock price ended the United States trading session on Monday down 12% after a 40% drop on Friday and the GME memecoin has fallen by over 17% in the last 24 hours, leading other memcoins downwards along the way.
The stock has exhibited significant volatility since late May, coinciding with the apparent return of retail trader and GME advocate Keith Gill, known by his alias “The Roaring Kitty.” Keith Gill was a central figure in the stock’s short-squeeze rally in 2021.
Furthermore, memecoins have mirrored the overall decline in cryptocurrency prices today, which sparked bearish concerns among global market participants. BTC experienced a notable drop, reaching as low as $67K, while ETH also saw a substantial decline, falling below $3,600. The global cryptocurrency market capitalization has decreased by 3.52%, now totaling $2.44 trillion. Meanwhile, the overall cryptocurrency market volume has seen a significant increase of 48.81% from the previous day, reaching $82.47 billion, according to CoinMarketCap data.
BTC And ETH Prices Witness Declines
As of the writing time, BTC is trading at $66,791, experiencing a decline by 3.85% in the past 24 hours. Its low and high are $66,763 and $70,146, respectively, according to data from CoinMarketCap. Bitcoin‘s performance is mirroring the cautious sentiment in equity markets ahead of the United States Consumer Price Index (CPI) report and an upcoming Federal Reserve meeting this week.
United States stock futures edged lower ahead of the latest CPI inflation report and the upcoming June FOMC meeting. Dow Jones Industrial Average futures decreased by 0.38%, while S&P 500 futures fell by 0.23% in pre-market trading. Simultaneously, major European and UK equity indices were in negative territory. In London, the FTSE 100 experienced a mid-day decline of 60.90 points, bringing it to 8,167.58. Furthermore, investors expect limited maneuverability from the United States Federal Reserve, as higher-than-anticipated May payrolls have dampened expectations for the central bank’s first rate cut in September.
The price of ETH has also dropped by 4.16% in the past 24 hours, currently trading at $3,524. Its 24-hour low and high are $3,509 and $3,711, respectively, according to data from CoinMarketCap.
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