Crypto: The end of the euphoria of memecoins, room for solid projects

The crypto market is undergoing a significant correction, with a particularly marked fall for memecoins. As investors look to stronger assets, are we seeing a paradigm shift in the industry?

The memecoin debacle

The crypto market recorded a 3% decline over the past 12 hours, with total capitalization hitting its monthly low of $2.48 trillion. However, memecoins suffered the most, with double-digit losses for most of them.

Kyle Chassé, Bitcoin pioneer, underlines on X the speed with which investors turn away from these speculative assets. He calls this movement a “flight to quality,” with traders now favoring crypto assets with a clear function or purpose.

According to CoinGecko, the memecoin market capitalization fell by 14% to $48.8 billion. The MAGA TRUMP coin was hit the hardest with a 34% drop, while others like dogwifhat, Brett, and Book of Meme also saw losses above 14%.

Even industry leaders such as Dogecoin, Shiba Inu and Pepe have not been spared. Only the Runes-based DOG-GO-TO-THE-MON token has managed to stay in the green over the past seven days.

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A widespread correction

If memecoins are the most affected, the decline affects the entire altcoin market. Solana lost 7%, falling to $132, while Cardano lost 7.8% to settle at $0.37.

Other assets like Avalanche (AVAX), Uniswap (UNI), Internet Computer (ICP), and Near Protocol (NEAR) also suffered. Bitcoin, for its part, found support around $65,000 but has remained stuck in a sideways channel for three and a half months.

This widespread correction calls into question the idea of ​​a “flight to quality” at this stage. However, the steeper fall in memecoins could be a sign of a change in investor mentality.

After a period of speculative euphoria, the market seems to be maturing and looking for projects offering real added value. The future will tell us if this trend continues or if the appetite for risk will take over.

The memecoin debacle may mark a turning point for the crypto industry. While investors seem to favor more solid assets, it remains to be seen whether this “flight to quality” will be confirmed over time.

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