Memecoins were not left out in the ongoing crypto market bloodbath as the total market capitalization of this category of crypto asset plunged by 23% with key memecoins recording double-digit lows.
Following the massive plunges of Bitcoin and Ethereum, the two biggest crypto assets by market capitalization, Memecoins also followed suit shedding 23% of its market capitalization and recording multiple double-digit price crashes.
Memecoins total market cap crashed by 23% and is currently standing at around $33 billion. Leading memes, including Dogecoin (DOGE), Shiba Inu (SHIB), Pepe (PEPE), Dogewifhat (WIF), and many more, are down by double digits, reaching multi-month lows.
The PoliFi category of memecoins which were performing strongly weeks ago following activities around the United States presidential elections have now seriously regressed.
Popular PoliFi memecoins like TREMP and TRUMP have crashed by 35% and 30% respectively.
Kamala Harris inspired Memecoins like KAMA which picked up steam after the dropping out of Joe Biden from the presidential elections have also seriously regressed at the moment.
At the time of writing this report, Kamala Harris-inspired Memecoin KAMA is down by a whopping 48.3% in the last 24 hours.
There are very few Memecoins still in the green but they are largely unknown. For Example, Neiro on ETH recorded a 17.3% increase in the last 24 hours despite the market crash.
Shiba Inu to Rebound Sooner Than Expected
Despite the market crash, some Memecoins are showing signs of an early rebound. Shiba Inu, one of the biggest memecoins by market cap has shown signs from a technical point of view of being on its way to a quick rebound.
The SHIB Relative Strength Index (RSI), which measures the speed and change of price movements, has plummeted below the 20 mark in the last few days.
The RSI metric which is scaled from 0 to 100 is an important indicator of Overbought and Oversold assets. When an asset has an RSI index above 70 it often indicates that the asset is overbought which is known to sometimes lead to a correction.
However, when it is below 30, this suggests that the asset is oversold, which might induce a bounce.
Shiba Inu’s RSI index is currently below the 20 mark indicating that the asset is well on its way to a rebound.
What to Know
- Relative Strength Index (RSI) is a momentum oscillator that measures the speed and direction of price changes in cryptocurrency trading. It’s a popular tool for analyzing short-term market momentum and identifying overbought or oversold conditions.
- Memecoins were arguably the strongest performers in the market last month. This has changed following the market crash which led to most of them dropping by double digits.