The memecoin market continues to make waves, with coins such as PEPE, Dogwifhat (WIF) and Bonk Inu (BONK) performing strongly. Analyst Miles Deutscher believes the uptrend will be sustained.
In a recent video, Deutscher highlighted two catalysts that he sees as crucial to driving memecoin momentum
2 factors that could support the rise of memecoins
The first catalyst Deutscher discusses is the latest Consumer Price Index (CPI) data, which showed inflation in the US holding steady at 2.6%. This figure met market expectations and brought relief to investors who had been pulling back in anticipation of the report. According to the analyst, the CPI’s compliance with forecasts helped reassure investors, which created a ripple effect in the crypto market.
Despite a $900 million sell-off in the past 24 hours, both Bitcoin and altcoins experienced positive price movements following the CPI release.
With the CPI out of the way, we are seeing investors take on more risk, which bodes well for the popularity of meme coins, Deutscher explains.
For memecoins, which often attract retail investors during bull cycles, this CPI-driven confidence has been particularly impactful. Deutscher notes that this behavior echoes the pattern seen in 2021.
As such, memecoins like Dogecoin (DOGE) have seen significant rallies as market conditions improve. This suggests that as long as inflation remains under control, memecoins have the potential to attract speculative capital from investors.
The CPI release therefore reassures investors that inflation remains under control, indirectly benefiting meme coins by stabilizing the broader crypto market. As interest in traditional assets wanes, retail investors appear eager to return to memecoins
Furthermore, Deutscher believes that this dynamic will continue to drive the meme coin market. The optimism comes as investors seek assets with greater growth potential.
Robinhood and Coinbase Expand PEPE Accessibility
The second factor fueling the recent meme coin rally is the re-listing of PEPE on Robinhood and Coinbase.
Robinhood, along with other major exchanges, had delisted PEPE and other assets due to regulatory concerns. The U.S. Securities and Exchange Commission (SEC) had classified several tokens as securities. This led to exchanges delisting coins like PEPE under pressure.
However, as regulatory controversy has shifted, Robinhood recently re-listed memecoin alongside Solana and Cardano, signaling renewed confidence.
Dear Diary, today we listed PEPE on Robinhood, the exchange said.
Coinbase quickly followed suit, adding the memecoin. Deutscher sees this as a reflection of changing regulatory attitudes in the U.S. He believes this trend points to a broader acceptance of memecoins among exchanges, especially as the political climate around crypto regulation becomes less restrictive.
The analyst links this change to a more favorable view of Republicans. After Trump's victory, the government should be less likely to target digital assets than the previous administration.
A combined effect boosting memecoins
Thus, both CPI stability and exchange listings create a dual catalyst. PEPE and other tokens in the sector could experience further price discovery as they attract both retail and institutional attention. Deutscher’s analysis resonates with memecoin investors who have been eagerly awaiting signs of market optimism.
When you believe in a strong narrative, it is crucial to remain stable – the price will eventually reflect the value, he concluded.
The article Memecoins rally could last longer, analyst reveals was first seen on BeInCrypto Brasil.
