Bitcoin is still languishing just above the $61,000 support, and most of the crypto market is down, and continues to bleed out. However, certain memecoins are bucking this trend, and $PEPE is one of the frontrunners.
A weak crypto market
The sentiment across the crypto market might be said to be verging on pretty bad. Bitcoin is still trending down, and although the price has been continually bought up from around $59,000, with one wick going as low as $56,600, the weekly candle bodies are closing lower.
If bitcoin is bad, then some of the altcoins are very much worse in the main. That said, Bitcoin Dominance may have seen a top for now. It just remains for the dominance trend to break, and some much needed money can flow into the altcoins.
Certain memecoins are flourishing
With all this said, the niche within the altcoins which is doing well now, and would probably also be the first to run if money were to come back to the altcoins, is that of the memecoins.
A battered, beaten, and well-whipped altcoin space looks as though it isn’t far from a resurgent rally, but some of the memecoins are already there. Take $PEPE for example. This memecoin, with nothing backing it except fresh air, is currently up more than 9% on the day, at the same time as $BTC and the rest of the altcoin market languish in the red.
Could it be that the memecoins are becoming the canary in the coalmine that presages an incoming reversal rally? Or, have the memecoins now become a way to just stick it to the man, and as long as the crypto bull market continues, they will keep making gains?
$PEPE makes a higher high
Source: Coingecko/TradingView
Looking at the daily chart for $PEPE, it can be seen that the price has just made a higher high. It just remains for the $PEPE price to take hold above $0.00001 with a candle body close, and then this token will be in price discovery. The fibonacci levels are at $0.000015 (1.618), $0.000022 (2.618), and $0.000029 (3.618). Should this last level be hit, this would be nearly 3x from the current price.
$WIF still in an uptrend
Source: Coingecko/TradingView
Looking at the Dog Wif Hat (WIF) chart on the weekly, there is more of a sideways price action over a number of weeks. That said, there is a definite uptrend, and if $WIF can break through and hold above the blue resistance level, the price could head back to the highs.
$GMEWIFHAT - the latest shiny memecoin
Source: Coingecko/TradingView
A memecoin to arrive on the scene in the last 24 hours is $GMEWIFHAT. A mixture of the Gamestop token $GME, and Dog Wif Hat $WIF. Of course, this is utterly preposterous, and is one of hundreds of memecoins to hit the crypto market over recent weeks. However, the degen traders are looking for the next big memecoin, and something like this could either go viral, or it could dump back into the nothingness from whence it came.
Whether we like it or not, memecoins are playing an important part in this crypto bull market. Some trading them will perhaps become millionaires, while the vast majority are going to lose money. This is the free market as it stands in crypto. For those brave enough to buy memecoins - “Caveat Emptor'' (Let the buyer beware).
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
