After the market cap for both cryptocurrencies fell below $30 billion, top meme coins such as Shiba Inu and Dogecoin have suffered a significant loss. SHIB and DOGE are now no longer the top 10 digital currencies.
In the last 24 hours, Shiba Inu lost approximately 6%. SHIB, which has a market capitalization in excess of $24 billion is the 12th largest digital asset in the world. Dogecoin fell by 4% over the same time. DOGE’s market cap is currently at $29 Billion.
The crypto market experienced a significant correction after reaching a record-breaking market capital of $3 trillion. The market cap of digital assets fell to $500 billion. Other than Shiba Inu (and Dogecoin), other top cryptocurrency assets like Bitcoin (BTC), Ethereum(ETH), Binance Coin/BNB), Solana [SOL] and Cardano have fallen by more than 10% over the past seven days.
Meme Coins vs Stable Coins
Investors enjoyed substantial gains on Shiba Inu in 2021 and Dogecoin, but the most recent correction has led to a significant shift in sentiment surrounding meme coins. The majority of new investment is now going to stable coins such as Tether (USDT), and USDC.
Thursday was the year’s largest 1-hour Tether transfer to exchanges. Over 771.6m USDT were transferred to exchanges at 8 AM UTC. In a tweet, Santiment, a crypto analytics firm, highlighted that 454m USDC was transferred to exchanges within 6 hours. This is a 4-month-high.”
Despite recent price declines, DOGE (and Shiba INU) are still the most popular digital currencies in 2021. Both digital assets are worth more than Litecoin, a cryptocurrency. It remains to be determined if the recent dips in SHIB/DOGE are part of a wider correction or if investors have lost interest in meme coins over time.