Can meme coins maintain this momentum after doubling their market cap in 30 days? Or is it just hype about Trump’s return?
Even coins explode
From Donald Trumpknown for his pro-crypto stance, was elected 47th President of the United States, the crypto market has seen a new wave of bullish momentum. Bitcoin (BTC) reached an all-time high of $93,400 on November 13, continuing its upward journey into the price discovery phase.
This gathering extended to coin market, where the total market capitalization has more than doubled in less than a month. On October 18, it stood at $55 billion; today it exceeds $124 billion, an increase of more than 100%.
Household names like Dogecoin (DOGE), bonk (BONK), and Pépé (PEPE) have been at the forefront of this push, recording key gains.
Over the past 30 days, DOGE has soared 166%, trading at $0.375. PEPE gained over 100%, reaching $0.000021, while BONK soared 116% to trade at $0.000048.
Meanwhile, meme pieces based on Solana like Peanut the Squirrel (PNUT) and Moo Deng (MOODENG) have also gained attention thanks to their viral appeal.
PNUT, a tribute to Peanut – a controversial squirrel euthanasia by the New York State Department of Environmental Conservation – soared 336%, trading at $1.60.
Likewise, MOODENG, inspired by a Thai pygmy hippopotamus who became an internet sensation, jumped 555%, trading at $0.55.
What’s next for the meme coin market? Can this momentum last, or will the coin hype eventually run its course? Let’s find out.
Understanding the Coin Surge
The recent rise in the meme coin market can be attributed to several interconnected factors. Let’s break them down one by one.
BONK’s Token Burning Plan
BONK DAO Announcement on November 15 concerning its plan to burn 1 trillion BONK tokens by December 25 was one of the main drivers of the token’s growth.
Token burning, a common strategy in crypto markets, involves sending tokens to an inaccessible address, thereby removing them from circulation. Token burns reduce the available supply, creating a shortage and driving up prices if demand remains constant or increases.
The market reacted quickly to this announcement, pushing BONK to overtake Dogwifhat (Wi-Fi) as the most valuable Solana-based meme coin by market cap on November 17.
The growing role of Solana
Solana (GROUND) saw record activity thanks to meme coins. Data shared by analyst Patrick Scott revealed that five of the top ten protocols by fees in the last 24 hours as of November 18 were hosted on Solana, suggesting that meme coins are driving Solana adoption in increasing user engagement.
Dogecoin and market sentiment
On November 12, President-elect Trump announcement the creation of the Department of Government Effectiveness, or “DOGE.” Although this department has no direct connection to DOGE, the crypto, the coincidence of the acronym has reignited interest in Dogecoin, a token already bolstered by a history of public support from figures like Elon Musk.
Following this announcement, Dogecoin hit a multi-year high of $0.4359, climbing 336% from $0.10 in a month, trading at $0.375 at the time of writing.
The price movement was further amplified by Musk’s tweet, “Threat to bureaucracy, not democracy,” which was widely interpreted as a nod to Dogecoin’s community ethos.
Other gains to come?
As the meme coin market continues to attract attention, analysts have decoded the patterns and predicted the next moves. But what exactly does the data suggest?
Dogecoin: eyeing $1?
Recent analysis reveals that DOGE forms a descending triangle pattern. While this may initially suggest consolidation, a historical review shows that this pattern has often been the precursor to major bullish moves.
One trader recently noted: “$DOGE is collapsing and could reach another high. » The potential advantage? A target of $0.80, which would exceed its all-time high of $0.73 set in 2021.
One of the factors driving this belief is its new political relevance. The creation of the Department of Government Effectiveness attracted public attention, although the connection is purely coincidental.
As Miles Deutscher, a crypto analyst, said, “the mindshare for the acronym DOGE will only increase once Trump is in power.” »
The feeling is that DOGE could become an easy entry point for new investors (“normies”), and a target of $1 no longer seems far-fetched. However, this will depend on continued market interest and wider adoption.
Bonk: the star of the meme Solana
As Bonk has solidified its position as the most valuable Solana-based meme coin, traders are warning of near-term risks. As one analyst said: “The price is currently very overbought, so I don’t consider this a good level for long trades. »
Traders are expecting a fourth wave correction, which is a temporary decline in prices that often signals healthier long-term growth. If BONK follows historical trends, this pullback could pave the way for new highs once the market digests the current gains.
Pepe eyes further gains
Pepe’s price action has been very technical, with its movements aligning perfectly with Fibonacci retracement and extension levels.
An analyst recently tweeted: “$PEPE is following the fractal impeccably, having reached the expected extension from $1.618 to $0.00002484. These extensions are crucial markers in technical analysis, often signaling the next price direction.
Their PEPE targets are set at $0.00003655 and $0.00005997, representing potential gains of 68% and 144%, respectively, from current levels. However, overbought conditions could lead to short-term corrections before these targets are achieved.
The road to follow
The future of the meme coin market is inseparable from Bitcoin’s performance, especially as BTC continues its price discovery phase.
But there are risks. Although Bitcoin’s price discovery provides the basis for a rise in the coin, its volatility remains a constant threat.
Meme coins, by their very nature, rely heavily on sentiment and speculative trading rather than fundamental value.
If Bitcoin were to fall sharply or enter a prolonged consolidation, meme coins – especially newer ones without established communities – could experience dramatic corrections.
At the same time, the rise of Solana-based meme coins adds a new dimension to the market, but it’s a story that will require sustained hype and market conditions to remain compelling.
It will therefore be crucial to stay alert to Bitcoin’s movements and prepare for sudden market changes. For those considering investing in coins, caution is advised. Only invest money you can afford to lose.
Disclosure: This article does not represent investment advice. The content and materials presented on this page are intended for educational purposes only.