Meme Coins DOGE, SHIB Struggle, Investors Are Turning to Bitcoin Again
Leading meme coins, Dogecoin
and Shiba Inu
, face correction despite the increasingly positive sentiment in the broader crypto market.
DOGE declined 3.6% to $0.159. The leading meme coin has been moving along with the broader digital currency market over the past month, but it’s currently showing signs of decoupling.
SHIB witnessed a similar momentum. The second-largest meme coin dropped 2.5% to $0.000011 with a $7 billion market cap.
According to , the total meme coin sector’s value decreased by 2.1% to $46 billion with a daily trading volume of $4.64 billion at the reporting time.
Meme coins saw their market value reach an all-time high of $137 billion on Dec. 9, 2024. At this point, their market cap is down by 66% from its ATH.
One of the reasons that investors have been diving into less volatile assets could be the Mantra
collapse on April 14. The native token of the (RWA) tokenization platform , wiping over $5 billion from its market cap.
Last month, , the billionaire head of the US Department of Government Efficiency, stated that the to use Dogecoin.
This strengthened the selloff around DOGE as some investors hoped the meme coin would get connected to the D.O.G.E agency.
Crypto Lives
The meme coin correction comes while the global crypto market capitalization increased by 0.9% to $2.7 trillion, .
Bitcoin
gained 1% in the past 24 hours and is trading above $85,500 at the time of writing. Its market cap reached $1.7 trillion with a daily trading volume of $28.7 billion.
As the market regains bullish momentum, the US-based spot BTC exchange-traded funds finally recorded a net inflow of $1.5 million on April 14, according to .
The declining meme coin market cap and trading volume suggest that investor interest in speculative assets might be fading away.
To confirm this, CMC data shows that Bitcoin dominance reached a whopping 63% — a level last seen in January 2021.
However, this doesn’t necessarily mean that meme coins are dead, but that investors prefer stronger assets like Bitcoin as the financial markets wander in macro uncertainty.
