In That Case, The Meme Coin Surge May Come to a Standstill
CryptoQuant research shows meme currency dominance in key altcoin marketplaces dropping for two months.
Analyst is negative on meme currencies and positive on Bitcoin long-term.
DOGE, SHIB, PEPE, WIF, and FLOKI gained in the previous 24 hours, but seven-day returns are negative.
Meme tokens Dogecoin (DOGE), Shiba Inu (SHIB), Pepe (PEPE), Dogwifhat (WIF), and Floki (FLOKI) rose in the previous 24 hours. The sector's declining dominance keeps these assets' seven-day returns negative.
CryptoQuant data reveals meme coin dominance has declined over two months.
CryptoQuant CEO and co-founder said on X that meme currency dominance in altcoin marketplaces is waning. The CEO expects crypto Twitter may change from gaming to fundamentals, like it did a few years ago.
Dogecoin, the biggest meme currency in the crypto world, gained nearly 50% in the 2018 bullrun. The meme token's decentralization helped Dogecoin, according to a Bloomberg article.
This cycle has seen Solana, Base-based meme tokens, celebrity currencies, and others rise. The decline in dominance may indicate a transition from memes to fundamentally good assets with a community, usefulness, and a top 100 market capitalization.
According to CoinGecko, memes including DOGE, SHIB, PEPE, WIF, and FLOKI have gained value in the previous 24 hours but lost double-digit value in the preceding week. The decline of meme currencies may limit on-chain activity and traders' interest in the tokens.
Daily active addresses, a critical on-chain statistic used to assess asset relevance and user activity, were dropping for DOGE, SHIB, PEPE, and FLOKI throughout the dominance decline, according to Santiment data.
Whether meme currencies maintain their current advances or continue their double-digit losses from the last week is unknown. On-chain activities and market demand declines may cause asset price corrections.
