Originally published on: December 10, 2024
As the crypto market takes a tumultuous turn, memecoins like Dogecoin (DOGE), Shiba Inu (SHIB), and Dogwifhat (WIF) are feeling the heat with sharp declines on Dec. 10. These popular memecoins are among the hardest-hit, erasing gains from the recent rally fueled by Donald Trump.
The collective market capitalization of memecoins has plunged to a three-week low of $119.6 billion, signaling a significant downturn in the sector. This drop marks a 21% decline in the aggregate market value of memecoins over the last 24 hours, with trading volume nearly doubling during the same period.
Dogecoin, leading the pack as the largest memecoin by market capitalization, saw a 5.6% drop in value, while SHIB recorded a steep decline of 10.4%. Not all memecoins suffered, with Ethereum-based Pepe (PEPE) being the only top-cap memecoin to post gains, up by 1.7%.
The decrease in memecoin prices was accompanied by a notable decline in open interest (OI) across the market, with significant drops in speculative contracts. The liquidation frenzy has wiped out over $1.7 billion in leveraged positions within the last 24 hours, marking a major event in the crypto space.
In this volatile market environment, investors are urged to conduct thorough research and risk assessment before making any investment decisions. Stay informed and subscribe to the Markets Outlook newsletter for critical insights to navigate the ever-changing crypto landscape.
