The cryptocurrency market witnessed a rapid of activity in the wake of precipitous drop of Bitcoin over the weekend which resulting in approximately $2 billion in liquidations. In this turbulence the meme coins and artificial intelligence (AI) tokens emerged as the front runners and showcasing significant profits within one day of time.
Bitcoin is the bellwether cryptocurrency which did experience a rollercoaster ride that ultimately recovering to trade around $66,600 during the European morning hours. This recovery was fueled by reports suggesting potential approval for spot Bitcoin and Ether exchange-traded funds in Hong Kong which injects a sense of optimism into the market.
It was the meme coins and AI-linked tokens that stole the spotlight which exhibiting remarkable resilience and outperforming major cryptocurrencies like Bitcoin conversely. The cryptocurrencies like Solana meme coins, dog-themed meme coins and Base network meme coins recorded gains of over 15% on average as per data from CoinGecko.
A flow in meme coins and Artificial Intelligence tokens came without any apparent catalyst which leaves the analysts and the investors intrigued by the sudden bullish momentum taken place. The dynamic nature of the cryptocurrency market where slot sectors can often seize the spotlight and drive price movements significantly highlights the flow.
The tokens associated with layer-1 block chains like Ethereum (ETH), Solana’s SOL and Avalanche’s AVAX witnessed relatively lackluster performance with an average rise of only 5.5% and despite being the backbone of the Decentralized finance (DeFi) ecosystem these tokens failed during this period to match the explosive gains seen in meme coins and AI tokens.
A trend observed during this rally was the significant accumulation of meme tokens by whales which referring to wealthy traders capable of influencing token prices through their sizable transactions is a notable point. The Tokens like cat in a dogs world (MEW) and slerf (SLERF) saw their prices surge by almost 80% within one day which driven by substantial purchases from these influential market participants. This outflow suggests the investors to exercise caution and taking profits following a strong uptrend in the early 2024 and the late 2023.
The flexibility of the market of cryptocurrency was on full display as meme coins and AI tokens spearheaded a remarkable rally following drop of Bitcoins in the weekend and on the other hand it is facing significant loss around $2 billion in total these sectors which showcased their ability to capture venture capitalist interest and also to drive substantial price gains.
+ There are no comments
Add yours