Is the Crypto Bear Market Hitting Meme Coins Hard?

🎯 KEY INSIGHT

In the recent bear market, Bitcoin plunged 40% from its peak in May 2023, causing some serious volatility in the meme coin space. Notably, BONK and PEPE experienced incredible surges—over 300% at their peak—amidst all the market chaos.

A bear market is generally defined as a prolonged period of declining prices, specifically a drop of 20% or more from recent highs. This phase often brings with it a wave of pessimism and negative sentiment among investors.

Bitcoin's recent dip below the $25,000 mark signals significant resistance and has shifted market sentiment. On-chain data reveals a decrease in active addresses, hinting at potential sell-offs on the horizon.

You can utilize tools like the Relative Strength Index (RSI) and Moving Averages to spot market phases. Don’t forget about volume analysis; increased volume during upward movements often points to stronger trends.

Meme coins are cryptocurrencies born from internet memes—think BONK and PEPE. Their rise can largely be attributed to community engagement and speculative trading. It’s all about the hype!

Solana boasts high transaction speeds, while BSC offers lower fees. This makes a big splash in the meme coin arena, with BONK flourishing on Solana and projects like PINK finding their home on BSC.

You can’t underestimate the impact of social media trends on meme coins. A spike in Twitter buzz or TikTok mentions can lead to notable price shifts.

• Data Points: For example, during a 48-hour window in July 2023, PEPE skyrocketed by 200%, coinciding with a viral social media challenge.

3. Making Sense of On-Chain Analysis for Your Trading Decisions

3.1 Key On-Chain Indicators...