"Woke up and 15% evaporated"...Memecore plummets amid Bitcoin's sluggishness

▲ Cryptocurrency decline/ChatGPT generated image

Bitcoin (BTC) surrendered the $78,000 mark over the weekend, turning bearish. Simultaneously, in the altcoin market, Memecore (M), a new project, plummeted by 15% in a single day, shocking the market.

According to crypto media outlet Cryptopotato on April 25 (local time), Bitcoin's price dipped below $78,000 as trading volume sharply decreased over the weekend. It failed to maintain the upward momentum from last week's breakthrough of $79,000. With overall market liquidity shrinking, major altcoins are also experiencing a synchronized decline. In particular, Memecore, which had recently garnered high expectations, dropped over 15% in one day, exposing extreme volatility.

Bitcoin's decline is a result of failing to defend the psychological resistance level of $78,000. On-chain data from Santiment shows that institutional investors' buying interest slowed down over the weekend. While open interest remains high, there is insufficient momentum to push the price up. As anxiety spreads among individual investors, a wave of disappointment-driven selling is occurring. Experts diagnose the current phase as a correction period following short-term overheating.

Memecore's plunge poured cold water on the entire memecoin ecosystem. Memecore surged shortly after its listing, but a sudden rush of profit-taking sales amplified its decline. A significant portion of its market capitalization evaporated in a single day, stirring caution among investors. Existing memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) are also maintaining a weak-to-stable trend, affected by Memecore's decline. This is a result of excessive expectations for new projects leading to a sell-off.

The liquidation of tens of millions of dollars in long positions over the weekend accelerated the downtrend. As Bitcoin fell below $78,000, a large volume of forced liquidations flooded the market due to fears of further declines. The total market capitalization of the cryptocurrency market also decreased by over 2% in one day, reflecting weakened investor sentiment. The increase in deposits to exchanges is also a key factor contributing to short-term selling pressure. Investors are closely watching whether Bitcoin can hold the $75,000 support level.

Currently, the cryptocurrency market is searching for direction between consolidation and correction. Bitcoin's price stagnation is further increasing uncertainty in the altcoin market. The volatility over the weekend will critically impact market trends early next week. An investment alert has been issued for high-volatility assets like Memecore. If Bitcoin fails to quickly reclaim the $78,000 level, there remains a possibility of further downward correction.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*