The meme coin market is witnessing a capitulation event over the past 24 hours, with top meme tokens Dogecoin and Shiba Inu taking a heavy beating.
The Dogecoin price has slid 5.5% over the past day, currently trading at $0.080 with a market capitalization of $11.4 billion. Fellow dog-based token Shiba Inu has also corrected by 4%, hovering around the $0.0000098 price point with a market capitalization of $5.7 billion.
The weakness in meme coins is a part of the larger crypto market crash, considering that the asset class shows a strong correlation with BTC. In the aftermath of the spot Bitcoin ETF approval, the Bitcoin price has plunged 12% from its weekly high of $48,400, currently trading at $42,500. According to CoinGecko, the global crypto market cap has declined to $1.75 trillion, down over 5% since Friday.
Meme coin enthusiasts are already pivoting to alternative tokens that could outperform the bearish Dogecoin and Shiba Inu over the coming days. A new meme coin – Sponge V2 – is quickly gaining strong traction in its presale and is being backed by analysts to display a 1000% breakout after its launch.
Top Memecoins Dogecoin, Shiba Inu Prices Crash, Is Their Reign Over?
Dogecoin investors are having a bad end to the week. On an X space, Elon Musk, the richest man in the world, reaffirmed that he still holds a substantial amount of $DOGE.
Typically, Musk’s validation should have spurred Dogecoin into a bull rally, considering that he has not publicly backed the meme coin in a long time due to his ongoing $258 billion lawsuit. And yet, the Dogecoin price has retraced 5% over the past 24 hours.
The Dogecoin price chart looks significantly worse upon zooming out, with the top meme coin now down 17% over the past 30 days and up just 0.5% over the past year. This is despite the fact that the crypto market has been in a full-fledged bull run since October of 2023.
Analysts believe that further correction in the Doge price is not out of the question. It is imperative for $DOGE to hold the $0.076 support level, failing which could result in a bearish wick down to $0.068. In order for the top meme coin to kickstart its bull rally, the meme coin would need to flip $0.085 into support, followed by a weekly close above the $0.106 resistance level.
The Dogecoin technical analysis from TradingView also paints a gloomy scenario, with the token receiving a “Sell” signal in the daily, weekly and monthly time frame.
Shiba Inu is not faring any better and is down 7% over the past two weeks. Similar to Doge, $SHIB has seen a marginal appreciation of 1.7% in its value over the past year.
The Shiba Inu price is underperforming against several of its moving average indicators in the daily time frame. Even in the weekly time frame, the bulls would need to flip the 100-week simple and exponential moving averages, both currently at $0.000011 and $0.000012 respectively.
The lack of bullish strength in Dogecoin and Shiba Inu makes sense. They have been facing strong competition from newer meme coins such as Pepe, Bonk and Dogwifhat. Sponge V2 could also join this growing list very soon.
Sponge V2 – The Next 100x Meme Coin?
Sponge V2 is the second iteration of the Sponge meme coin, designed by the same developer team with revamped tokenomics, a Play-To-Earn game and a revised marketing strategy.
Sponge turned out to be one of the best meme coin opportunities of 2023, with the meme coin generating 100x returns for early buyers. Inspired by the globally popular cartoon show SpongeBob SquarePants, the meme coin saw its valuation skyrocket to $100 million immediately after its launch, thanks to over 13,000 token holders.
Sponge secured listings on almost every top-tier crypto exchange, with the exception of Binance and Coinbase. Now, the Sponge V2 project aims to land “bigger and better” exchange listings, which could be hinting towards Binance. As such, Binance has shown a stronger-than-usual inclination towards listing new meme coins, with Bonk and Dogwifhat the latest additions.
Several crypto whales have rushed to purchase $SPONGEV2 while it is still in its presale. Michael Wrubel, who netted $100k with Sponge, has made another substantial investment into Sponge V2. Even Justin Sun, the founder of the Tron blockchain and Poloniex exchange, has over $4 million worth of $SPONGE holdings, which he is expected to convert into the new meme coin.
Interested buyers can head to the Sponge V2 website and purchase the meme coin by swapping ETH or USDT tokens. Alternatively, if an investor holds $SPONGE, they can simply stake their holdings and receive Sponge V2 in exchange.
Visit Sponge V2 Presale
