The altcoin sector has seen strong gains since the US Federal Reserve changed its policy in mid-September, reinforcing market confidence in a budding altcoin season. However, a familiar trend seems to be emerging at the moment — memecoin dominance.

Glassnode founders said that memecoins have dominated the early stages of the altcoin season. They highlighted that dogwifhat (WIF), Shiba Inu (SHIB), and Pepe (PEPE) are showing strong momentum.

“We just entered Altcoin Season 5 days ago, and we've seen strong momentum on memecoins.”

SHIB leads the memecoin price surge

As of September 27, eight of the top 10 memecoins, including SHIB, WIF, and MOG, have posted double-digit gains of 25% to 50% over the past 30 trading days. SHIB is an exception to this week's bullish wave, with gains of up to 40%.

At the moment, SHIB's bullish momentum has eased slightly around the 200-day moving average (MA). RSI is also showing overbought conditions.

However, compared to other categories, strong speculative inflows into memecoins could support this segment.

According to Coinglass, memecoin topped Open Interest (OI) over the past 24 hours with 12%. This is double the second-ranked segment – ​​Gaming – with 6.8%.

Memecoin also ranked 3rd in terms of trading volume during the same period, indicating strong capital injection and trading activity in the segment over the weekend.

The massive speculative enthusiasm for memecoin could strengthen its position in the market in Q3. In the first half of 2024, the segment outperformed, even surpassing, Bitcoin (BTC) in terms of growth.

At the time of writing, the segment is at its highest profit year-to-date with a staggering 1,160% increase.