The start of the second week in October saw Bitcoin [BTC] break through resistance to challenge the crucial $64K level, rebounding strongly from last week’s brief dip when it hovered around $58K.<\/p>\n
This period witnessed significant surges in popular memecoins, some even registering triple-digit gains as money moved away from Bitcoin.<\/p>\n
Despite this initial surge, many of these memecoins are now below their previous peaks, indicating a potential phase of distribution as attention shifts back to BTC in the market.<\/p>\n
With Bitcoin on the rise again and most high-cap memecoins experiencing a decline, CryptoCrypto detects a trend that suggests the possibility of the memecoin craze entering its final phase rather than heralding a new “supercycle.” Should this pattern persist, a broader market cooling-off period could be on the horizon.<\/p>\n
Recent data shows that the past week marked a cycle dominated by memecoins, with three out of every five coins driven by memes experiencing over a 30% surge within a week.<\/p>\n
There has been a noticeable shift; while low-cap alternative coins traditionally gain traction when BTC hits a low, investors are now turning to high-cap memecoins for opportunities with higher risk and potentially higher rewards.<\/p>\n
In essence, the recent correction in BTC prompted a movement of capital into these larger tokens. However, as traders secure profits, funds might soon flow into smaller, low-cap memecoins, akin to the surges seen in alternative coins after every peak in Bitcoin.<\/p>\n
SHIB, the second-largest memecoin with a market cap exceeding $10 billion, has consistently outperformed Bitcoin, showing greater daily gains during each upward move on the daily price chart.<\/p>\n
This increase can be attributed to a strategy traders employ during Bitcoin pullbacks, shifting their focus towards acquiring high-cap memecoins. Notably, there was a net outflow of 58 billion SHIB from combined exchanges in the past week.<\/p>\n
However, with Bitcoin now surpassing a crucial resistance level, renewed confidence has led these investors to sell, resulting in an influx of 62 billion SHIB.<\/p>\n
In conclusion, many top memecoins may be primed for a correction as Bitcoin prepares for its next rapid rise. Thus, the next phase of the memecoin cycle may begin once BTC nears a plateau around $66K.<\/p>\n
Traditionally, a rise in BTC price spurs investors’ willingness to take on more risk, leading them to explore speculative assets like lower-cap memecoins.<\/p>\n
Despite their higher volatility, these assets are considered enticing for quick and substantial gains, potentially leading to a short-term increase in demand.<\/p>\n
An illustrative example is Mother Iggy [MOTHER], a celebrity Solana-based memecoin with a market cap of $85 million. The token has gained momentum, climbing over 5% in the past 24 hours to reach $0.83. This signifies a significant recovery from the 10% fall witnessed last week.<\/p>\n
Historically, a similar trend emerged during the initial cycle when Bitcoin hit $62K, enabling MOTHER to test the $1 mark. If this trend continues, the memecoin could be on the brink of a bullish turnaround.<\/p>\n
Overall, while major memecoins appear stagnant, smaller market-cap tokens are surging, echoing the pattern following a Bitcoin peak, where capital shifts towards smaller coins as larger investors redistribute their holdings.<\/p>\n","protected":false},"excerpt":{"rendered":"
The start of the second week in October saw Bitcoin [BTC] break through resistance to challenge the crucial $64K level, rebounding strongly from last week’s brief dip when it hovered around $58K. This period witnessed significant surges in popular memecoins, some even registering triple-digit gains as money moved away from Bitcoin. Despite this initial surge,<\/p>\n","protected":false},"author":1,"featured_media":26952,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[],"class_list":["post-26951","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto-news","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-50","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts\/26951","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/comments?post=26951"}],"version-history":[{"count":2,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts\/26951\/revisions"}],"predecessor-version":[{"id":26954,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/posts\/26951\/revisions\/26954"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/media\/26952"}],"wp:attachment":[{"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/media?parent=26951"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/categories?post=26951"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/btcacademy.online\/crypto\/wp-json\/wp\/v2\/tags?post=26951"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}