Memecoins
End of the road for Meme Coins? Dogecoin suffers heavy losses
Cryptocurrencies and other crypto assets are showing red numbers after a sharp downtrend. These events have knocked off the bullish momentum over the past two weeks that had pointed to a market recovery in July. The end of July saw a correction that erased the gains in the cryptocurrency market amid higher projections in Q2 2024. As crypto assets struggle, users are selling their assets, with large chunks flowing into exchanges.
Cryptocurrencies such as Dogecoin and Shiba Inu are dominating the market and, to some extent, dictating the sentiments of related assets. At press time, the cryptocurrency market cap stands at $2.13 trillion, down 4% in the last 24 hours, while the crypto market cap is down 14% to $44.3 billion. The huge drop in cryptocurrencies relative to other assets has given rise to several perspectives on the future of the asset class.
Dogecoin records monthly losses
Meme coins are volatile assets with rapid price fluctuations depending on the Market sentiment. This explains the drop above the broader cryptocurrency market this week. Dogecoin is trading at $0.1081, down 9% today, while weekly figures have slipped 13.5%. These figures have sent the asset’s price plummeting, prompting massive sell-offs from the community.
Dogecoin’s monthly numbers continued their downward trend, losing over 33% of its value during the period. This wiped out a significant portion of the meme coin’s inflows during the last bull cycle. The market cap of
DOGE stands at $15.6 billion while daily trading volumes stand at $1.1 billion.
Dogecoin holders speculate on future trends in anticipation of a change in macroeconomic events.
Wider Meme Coins Are Decline
The decline in sentiments is observed in several sectors of the space. The price of Shiba Inu Fed stocks fell 8.3%, extending weekly outflows above 13%. Similarly, PEPE, dogwifhat, and BONK fell 7.1%, 3.5%, and 1.8%, respectively, contributing to a downtrend in crypto assets. However, an introduction of interest rate cuts by the Fed could lead to an inflow of funds into risky assets.
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David is a financial news contributor with 4 years of experience in Blockchain technology and cryptocurrencies. He is interested in emerging technologies and has an eye for breaking news. Staying abreast of trends, David has reported on several niches including regulation, partnerships, crypto assets, stocks, NFTs, and more. Outside of financial markets, David enjoys cycling and horse riding.