After a dramatic drop during the first two days of the week, cryptocurrency prices are recovering rapidly. In the particular case of memecoins, they are rising with notable force this Wednesday. All of the meme tokens that make up the top 10 in market capitalization are showing green numbers, according to CoinMarketCap.
The overall market cap of the sector reached $123 billion at 15:38 GMT on Wednesday. The price recovery on Wednesday was linked to Bitcoin's reaction to inflation data in the United States. The Department of Labor revealed that the year-over-year consumer price index was 2.7%.
This means that the Federal Reserve will almost certainly implement a new rate cut in December. The result of this was soon reflected in the so-called memecoins. Some of these tokens such as BRETT, POPCAT, PNUT and SHIB exceeded double digits in 24 hours. In total, 7 of the 10 largest meme coins by market cap had +10% or more in 24 hours.
In the case of the queen of the sector, DOGE, it shows a growth of +8.97% and its capitalization once again reaches $61 billion dollars.
Memecoins regain ground compared to other sectors
Now that memecoins are on a strong rise, their role as performance leaders in the crypto world is reappearing. So far this year, they maintain a strong lead over rival tokens such as AI and gaming. Meanwhile, so far in December, they still show lower numbers, but the gap is much shorter.
Beyond the top 10, meme coins become much wilder territory in terms of risk. However, this is also where the biggest gains are evident. For example, the TURBO coin (#12) shows a weekly performance of over 51% and FARTCOIN exceeds +60%.
Within the sector of coins not yet included in CoinMarketCap, the issue is much more acute. Among these meme tokens, returns are often counted even in four digits in percentage terms. With these elements in perspective, it can be said that the meme sector seems to once again occupy a significant position among investors' preferences.
Expectations remain high, especially for coins like DOGE, which is hugely popular among young investors in the US. With the prominence given to it once again by tycoon Elon Musk, this token could reach a capitalization of $100 billion by 2025.
