Cryptocurrency market recently experienced a significant decline, with meme coins taking a heavy hit. Among these, Dogwifhat (WIF) dropped by 18% in the last 24 hours, making it the worst-performing coin. This decline pushed WIF’s market value below the critical $3 billion mark, dangerously close to losing its status as the fourth-largest meme coin to FLOKI.
Meme Coins Affected
WIF’s decline is part of a broader trend affecting meme coins. Leading meme coins like Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) also experienced significant losses, though less severe. DOGE, SHIB, and PEPE fell by 9.7%, 7.5%, and 11.3%, respectively. According to CoinGlass data, this downward trend resulted in meme coin investors losing over $20 million in long positions in the past day. Overall, the total value of the cryptocurrency market shrank by 3.2%, with Bitcoin (BTC) itself dropping by 3.5%.
The sharp declines in the meme coin segment are part of the most severe drop in the crypto market since mid-April. The total liquidation in the market reached $415 million, marking the largest liquidation event since April 13, 2024. This widespread sell-off indicates high levels of market volatility and investor concern.
Rise in Small-Cap Meme Coins
Interestingly, while larger meme coins struggled, some smaller meme coins showed resilience and even growth. For example, the Base-based meme coin Basenji (BENJI) surged by 33% in a single day, reaching a market value of $70 million. Similarly, Chompcoin (CHOMP) recorded a 20% increase. These gains highlighted the unpredictable nature of the meme coin market, where smaller tokens can sometimes outperform their larger counterparts.
On the other hand, WallStreetBets-themed meme coins took a particularly hard hit. The meme coin GME, named after the GameStop stock that gained fame during the Reddit trading frenzy, fell by 33%. This significant decline occurred during a broadcast by Roaring Kitty, a prominent figure among Reddit investors, leaving cryptocurrency investors disappointed.
