$35 Billion Meme Coin Market Faces Reality Check
The meme coin market is experiencing a rotation, not a rally, according to recent data. The category's market cap has dropped by about 4% over the past day, with large caps largely stagnant and only $PUMP showing significant gains due to its fee and buyback data from Pump.fun.
The biggest 24-hour gains are coming from small, thinly traded tokens such as Baby Cali and Shareholder Cat, which have risen by 11,400% and 7,300% respectively. However, these gains are already reversing, with both tokens down 17% and 37% in the last hour.
The larger trend is that while a few well-known names continue to rise this week, many coins may fall sharply. The meme market rewards short-lived stories with a catalyst and punishes late entries, making it difficult for traders to predict what will happen next.