meme coin market has experienced a sharp decline of 18% in the last 24 hours due to broader crypto asset liquidations. Investors are approaching market movements more cautiously due to macroeconomic concerns. However, the volatility of digital assets continues to drive prices down.
With this decline, significant asset outflows were observed in meme coins, with some losing up to 17% in value. This led to losses in the market. Although these losses have significantly offset monthly gains, some users are starting to get hopeful as the Bitcoin supply has halved.
Meme coins’ declines overshadow past gains
Market leader in the last 24 hours dogecoin (DOGE) fell 14.5%, paring its weekly gains to 11.2%. This decline wiped out the asset’s monthly gains, pushing previous gains into the red zone.
With a daily volume of 1.2 billion dollars Shiba Inu (SHIB) fell 3.1% from yesterday’s 14.9%, bringing its total weekly losses to almost 15%.
During the same time period, both PEPE and Dogwifhat reportedly suffered losses of 23%, with PEPE’s monthly liquidity losses reaching 46.1%.
Compared with the memecoin market in the first quarter of 2024, the downward trend in the market has become evident. Meme coin’s daily trading volumes have dropped as a result of its poor performance, and the cryptocurrency’s market cap currently stands at $51.8 billion.
Despite these losses, some assets have gained more than 50% today. This points to a new cash flow. Among the top gainers, Catino came out on top with a 116% increase, while FLIES and Let’s Go Brandon gained 61% and 48% respectively.
There was an 8.5% rally in the overall market as Bitcoin fell to $62,000 in response to fears that Iran was planning to launch an attack on Israel.
Geopolitical tensions have caused investors to withdraw their capital from assets considered dangerous. Tax deadlines in the United States are another major issue contributing to the downward trend.
When there were massive inflows into assets the previous year, market experts believed that the weeks leading up to the tax deadline were generally a gloomy time for the situation.
We observed this trend because investors are paying for the capital gains they realized during the bull market. Both stocks and cryptocurrencies experienced inflows in the previous year, causing assets to reach highs not seen in months.
