Memecoins in retreat: a real collapse or a cyclical adjustment of the crypto market?

The market thermometer signals red: memecoins lose dominance

Memecoins are facing their worst performance in years. According to CryptoQuant data, their market dominance share has plummeted from 0.11 at the end of 2024 to just 0.04 currently, retreating to levels not seen since 2022. This synchronized decline affects the entire meme ecosystem: from DOGE trading at $0.14 with a +0.98% increase in 24 hours, to SHIB and PEPE, no project escapes the sector’s widespread contraction.

What distinguishes this correction from previous cycles is the absence of narrative rotation. Historically, when one theme loses traction, another replaces it. Today, that void persists. Retail speculation has almost disappeared, and even cultural or political events fail to revive interest.

Is this the end or a strategic pause in the memecoin market?

While some analysts declare the end of an era, the crypto community maintains a more nuanced view. The debate intensifies: if the price of these assets was driven by speculative cycles, should we expect a revival?

Beneath the surface of the decline, there are mixed signals. Open Interest in futures contracts shows residual movement: DOGE records a +4% increase, SHIB +8%, and PEPE +3%. These numbers suggest that retail speculation, although dormant, has not completely disappeared. The 24-hour transaction volume also shows persistence: DOGE moves $35.33M, while PEPE accumulates $5.01M.

From a technical perspective, DOGE consolidates between $0.133 and $0.1568. A bullish breakout could project the price toward $0.1810. The RSI gradually rises toward neutral territory, and the MACD confirms the pattern. SHIB and PEPE exhibit similar dynamics with supports holding pressure.

The market in suspense: waiting for the next catalyst

The history of the crypto market shows that periods of apparent stagnation often precede accumulation phases. Memecoins, rooted in cultural virality and susceptible to external events like Elon Musk tweets, have an intact recovery potential.

While the current dynamics differ from the previous speculative boom, it would be premature to completely dismiss these coins. Last August, after a sharp crash, they proved to be the first assets to restart the bullish momentum. Their organized community and ability to generate viral buzz remain variables that are not extinct.

Key data of the current scenario

• Memecoin dominance: 0.04 (level 2022, according to CryptoQuant)
• DOGE price: $0.14 with +0.98% in 24h and volume of $35.33M
• SHIB Open Interest: +8% increase in futures contracts
• PEPE price: volume of $5.01M with +0.85% daily variation
• Synchronized decline: 2024-2025 marks a retreat across all memecoin categories
• Narrative void: no subsector replaces the previous dominance

The crypto market remains in a waiting game. This silence, though uncomfortable, does not necessarily herald extinction. It could simply be the pause before memecoins once again demonstrate why their cycles are as unpredictable as they are influential in the speculative ecosystem.