The first week of 2026 has seen a remarkable rebound in the Meme coin sector. After experiencing a 65% deep decline in 2025, this asset class driven by social media hype suddenly exploded, especially the performance of Chinese Meme coins, which has become a focal point of market attention.

From the data, this rally is quite intense. The total market capitalization of the sector jumped from $35 billion in late December to $47.7 billion, an increase of nearly $13 billion in just seven days. A weekly increase of 30%, with $8 billion of funds rapidly flowing back within this week. Trading activity also surged, with the highest daily trading volume reaching $9.2 billion, several times higher than the $2.17 billion in late December, with a single-day increase of up to 300%.

The leading coins have indeed held up well. $PEPE surged over 64% this week, with a single day soaring 65.6%; $DOGE increased nearly 20%, re-establishing a multi-year resistance level; $SHIB followed with an 18.37% rise; Solana ecosystem's BONK also gained 54.6%. But what’s most interesting is the collective rise of Chinese Meme coins, which have become the main recipients of incremental funds in this rally.

The rise of Chinese Meme coins is fundamentally driven by cultural identity and community consensus. Western Meme coins rely on global internet culture dissemination, while Chinese Meme coins are rooted in the local internet scene, making it easier to resonate with domestic users. This localized advantage has become particularly evident in this round of market activity.