Why are memecoins up today?
2024.10.08 16:32
The recent recovery in cryptocurrency prices has seen the largest market caps memecoins like Dogecoin (DOGE), Shiba Inu (SHIB), and Dogwifhat (WIF) record double-digit gains over the past month.
First Neiro on Ethereum (NEIRO), a new memecoin deployed on the Ethereum network in late July, rallied the most, gaining over 3,330% over the last 30 days and 63% over the past week. It has added 13% to its value over the last 24 hours. Popcat (POPCAT) followed with a 137% monthly gain, and Mog Coin (MOG) came in third after climbing 102% in the same period.
Performance of top meme tokens by market capitalization. Source: CoinMarketCap
DOGE, SHIB and Pepe (PEPE) also rose 11.8%, 32.8% and 38% on the monthly time frame, while WIF climbed 63%.
Memecoin trading volumes explode
CoinMarketCap shows that the market capitalization of meme tokens has surged by 34.7% over the past four weeks to $48 billion at the time of publication, reflecting renewed investor confidence in the sector.
The daily trading volume increased by 220% from $2.7 billion on Sept. 8 to a monthly high of $8.6 billion on Oct. 2 before retracing to the current $6.8 billion. The increase in trading volume among memecoins indicates the intensity of the demand-side pressure experienced within the sector over the past month.
Market capitalization and volume of memecoins. Source: CoinMarketCap
Corroborating this, data from Dune reveals that memecoin weekly transaction flows for memecoins across all blockchains, including Ethereum, Solana and Tron, have surged collectively by 161.7% from its recent low of roughly $110.5 million during the first week of September to $289.2 million the week ending Oct. 4.
Memecoins total trading volumes. Source: Dune
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
