The memecoin market experienced a sharp decline on Tuesday, echoing the broader cryptocurrency market downturn. Leading memecoins, including dogwifhat and Pepe, saw significant losses in value.
Dogwifhat, a Solana-based dog-themed coin, led the decline with a 13.38% drop in price over the past 24 hours. Trading volume for dogwifhat increased by 18% to $428 million. Meanwhile, Pepe, an Ethereum-based frog-themed coin, also suffered a substantial loss, shedding over 10% of its value. Trading volume for Pepe surged by 18% to $750 million during the same period.
Another popular memecoin, Bonk, with a $1 billion market capitalization, recorded losses of 9.22%. Blue-chip coins, like Dogecoin and Shiba Inu, also faced significant drops, falling by 5.94% and 6.05%, respectively, in the last 24 hours. However, Popcat, a cat-themed cryptocurrency, bucked the trend, rising 3.89% in the past 24 hours. Popcat has been the best performer in the memecoin sector this year, delivering an impressive 8813% year-to-date return.
The overall memecoin market capitalization shrunk to $38 billion, representing a 6.2% decline over 24 hours. This downturn was attributed to a broader market plunge that impacted Bitcoin and Ethereum, causing them to plummet steeply on Tuesday evening. According to Coinglass, total cryptocurrency liquidations exceeded $319 million in the past 24 hours, with long liquidations accounting for 89% of the total. The significant liquidations underscore the volatility inherent in the cryptocurrency market and the potential for rapid price swings, even for memecoins, which are often considered highly speculative assets.
