The memecoin sector’s market capitalization has fallen to levels last seen in July as meme-based tokens struggled to recover from losses suffered during Friday’s violent cryptocurrency market crash.
CoinMarketCap data showed that the memecoin sector fell to a low of $44 billion on Saturday, down almost 40% from $72 billion the previous day. The memecoin market rose slightly on Sunday to $53 billion, a level last seen in July before the Solana-based memecoin craze sparked the sector’s overdue summer surge.
Over the past four months, memecoin market capitalization has consistently remained above $60 billion as meme-based tokens maintained forceful retail interest, fueled by Solana and BNB Chain. However, the recent decline marked a change in dynamics.
At the time of writing, the market capitalization of the memecoin sector stands at $57 billion, still well below its recent performance.
The most popular memecoins are trying to recover from Friday’s bloodbath
According to CoinMarketCap, the top 10 memecoins are worth approximately $47 billion, representing over 82% of the sector’s total market capitalization. At the time of writing, all of these tokens were trading in the red on both the 24-hour and seven-day charts.
Top meme tokens such as Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) have seen weekly losses ranging from 13% to 22%. Prices of other top-ranked memecoins such as Bonk (BONK) and Floki (FLOKI) have fallen by more than 20% in the past week.
US President Donald Trump’s official memecoin token also suffered from the outage and saw its weekly charts drop by 20%.
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The remaining sectors quickly stabilized after the market collapse
While memecoins are still recovering from the crash, several other sectors are showing signs of faster stabilization and recovery.
The day after the crash, non-fungible tokens (NFTs) began to recover. During the market sell-off, the overall value of the NFT space dropped by 20%, with the sector valued at approximately $1.2 billion. However, the niche quickly recovered, recovering 10% the day after the crash.
Cryptocurrency exchange traded funds (ETFs) have also quickly attracted novel inflows after a wave of outflows following the recent market crash. On Tuesday, spot Bitcoin ETFs saw net inflows of $102 million, while Ether ETFs saw net inflows of $236 million.
More established cryptocurrencies also recovered quickly. According to CoinGecko, the price of Bitcoin (BTC), which dropped to $102,000, is now above $111,000. Ether (ETH), which fell below $3,700, has returned to above $4,000.
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