Meme coins are on the receiving end of a large-scale altcoin sell-off on Tuesday morning, suffering double-digit losses across the board.
| Cryptocurrency | Price | Gains +/- |
| Dogecoin DOGE/USD | $0.1198 | -10.7% |
| Shiba Inu SHIB/USD | $0.00001775 | -11.1% |
| Pepe PEPE/USD | $0.00001043 | -10.1% |
| Dogwifhat WIF/USD | $2.02 | -15.8% |
| Floki FLOKI/USD | $0.0001625 | -13% |
Dogecoin saw $60 million worth of positions liquidated, as prices dropped more than 10%, while Shiba Inu’s larger transactions spiked. The SHIB burn rate surged 5,500%.
Dogecoin is now the ninth-biggest cryptocurrency by market capitalization, dropping behind Toncoin TON/USD in the eighth spot.
Top Losers:
| Cryptocurrency | Price | Gains +/– |
| Beercoin BEER/USD | $0.00006043 | -66.1% |
| Doland Tremp TREMP/USD | $0.577 | -36.7% |
| Basenji BENJI/USD | $0.03723 | -36.7% |
Trader Notes: Crypto trader DonAlt recently voiced his concerns over the misinterpretation of "bluechip memecoin" in the crypto community. He pointed out the potential risks and associated misconceptions, stating that the lack of understanding terrifies him. He further emphasized that there are no "blue chips" in the crypto world.
DonAlt also highlighted the potential future of memes, DeFi and NFTs but warned against the assumption that the attention economy won’t shift away from these assets.
One trader replied to the criticism, arguing that memes are “a more stable store of value” than the latest VC-funded blockchain with fake volume and user activity.
Crypto trader Ash Crypto attributed the sudden drop in altcoin values to a lack of narrative, the Ethereum ETF trading delay and excessive greed. He observed a 15%–20% decline in several large-cap altcoins, despite Bitcoin’s minor 3% correction.
He added that despite the ETH approval a month ago, trading has yet to commence, causing a shift in sentiment away from altcoins. "Remember, alts big rally always starts with ETH," he tweeted.
Highlighting greed, he pointed to celebrities launching their meme coins and retailers flaunting their million-dollar meme coin profits. Such signs of greed have historically led to a crash.
Ash Crypto sees most altcoins as oversold, stating that "buying fear has always yielded great returns."
What’s Next: The influence of meme coins and Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
Image: Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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