Memecoins Drop 18% After Big Crypto Sell-Off

The memecoin market has seen an 18% drop in the last 24 hours due to broader crypto asset liquidations.

The market for memecoin has experienced a precipitous drop of 18% in the past 24 hours as a result of liquidations from wider crypto assets.

Despite the fact that investors are becoming more cautious of market movements due to macroeconomic concerns, the volatility of digital assets continues to cause their prices to fall.

Memecoins experienced significant outflows of key assets, with some of them losing as much as 17%, which led to losses in the market. Even though losses have significantly offset monthly gains, some users are starting to see a glimmer of hope due to the approaching half of the Bitcoin supply.

Memecoins Lows Overshadow Past Gains

In the past 24 hours, the market leader Dogecoin (DOGE) has experienced a decline of 14.5%, bringing the weekly outflows to 11.2%. Daily corrections push the asset’s monthly movements into the red zone, wiping out any previous gains.

With a daily volume of $1.2 billion, Shiba Inu (SHIB) has experienced a decline of 3.1% from yesterday’s 14.9%, bringing the total weekly losses to almost 15%.

It has been reported that both PEPE and Dogwifhat saw losses of 23% within the same time period, with PEPE’s monthly liquidations reaching an astounding 46.1%.

When compared to the memecoin that was witnessed in the first quarter of 2024, this results in a bearish trend in the market. Memecoin’s daily trading volumes have plummeted as a result of its poor performance and the cryptocurrency’s market value currently sits at $51.8 billion.

In spite of these losses, certain assets have had gains of more than 50% today, which indicates a new flow of cash. In terms of gainers, Catino topped the pack with a rise of 116%, while FLIES and Let’s Go Brandon each achieved a surge of 61% and 48%, respectively.

The overall market had outflows of 8.5% due to Bitcoin’s precipitous drop to $62,000 in response to fears that Iran was planning to launch an attack on Israel.

The geopolitical tensions have caused investors to withdraw their capital from assets that are considered to be hazardous. Tax deadlines in the United States are another significant issue that contributes to the downward trend.

When assets had enormous inflows the previous year, market pundits believed that the weeks leading up to the tax deadline were often a gloomy time for the situation.

We have observed this tendency because investors are paying for capital gains they achieved during the bull market. Both stocks and cryptocurrencies experienced inflows in the previous year, causing assets to reach highs not seen in months.