Meme coins are painting the crypto market red right now.
Yet a new dog-themed project called Base Dawgz (DAWGZ) continues to rally – and has just passed the $1.2 million milestone in its ongoing presale event.
Meme Coins Pull Back as Spot Trading Volumes Plummet
It’s been a challenging week to be a meme coin investor.
From the OG Dogecoin to recently trending tokens like Floki, nearly every major joke coin is nursing losses right now.
DOGE has shed over 1% of its value in the past 24 hours, while SHIB is also down a similar amount.
Self-proclaimed “Dog coin of the people,” BONK, is faring even worse with a 4% drawdown.
Even PEPE hasn’t been spared from the onslaught.
PEPE is down over 3% in the past day and is hovering around $0.0000122.
However, the worst performer has been the MEW token – which suffered a 10% dip since yesterday.
In total, the combined market cap for meme coins has dropped to $58.2 billion.
More pressingly, 24-hour spot volumes have sunk 34%, now at $5 billion.
Trading activity taking a hit implies investors are losing confidence in the meme coin market – at least for now.
Bitcoin Price Flops, Leading to Meme Coin Selloff
The current meme coin selloff seems to be caused by a combination of macroeconomic factors and recent crypto market developments.
On the crypto front, Bitcoin’s failure to close above $70,000 has spooked traders.
This prompted Bitcoin’s price to drop significantly on Wednesday and Thursday – dragging down meme coins with it.
There are also lingering worries around the Fed’s interest rate policy trajectory.
With inflation still above the 2% target, fears that interest rates could stay higher for longer are leading to a risk-off sentiment from some traders.
Then, there’s another catalyst more specific to the crypto market itself.
The recent streak of inflows into spot Bitcoin ETFs finally snapped on Monday after 19 consecutive days, perhaps signaling that institutional demand is waning.
When big money starts pulling back, it’s usually a bearish sign.
So, in summary, a confluence of macro factors and shifting narratives is deflating the meme coin momentum for now.
But, as seasoned crypto investors will know, sentiment can turn quickly in this sector.
Often, all it takes is one positive catalyst to spark an explosive revival.
New Meme Coin Base Dawgz Defies Market & Passes $1.2M in Viral Presale Event
Despite the malaise in the meme coin market, one newcomer is still performing well.
That newcomer is Base Dawgz – a multi-chain project that has raised $1.2 million in just ten days of its ongoing presale.
It’s not a bad start, considering the bearish environment surrounding meme coins right now.
So, what’s driving Base Dawgz’s impressive presale performance?
For one, it is tapping into the demand for meme coins hosted on the Base Layer-2 network.
While Solana and Ethereum still dominate the meme coin space, Base has emerged as a promising new ecosystem (with low fees).
Base is now the second-largest Layer-2 network in the world.
And since Base Dawgz is hosted on that network, it has a unique selling point compared to the countless Solana and Ethereum-based joke coins.
This has seen DAWGZ receive some high-profile backing from influencers.
For example, Matthew Perry said that DAWGZ might be “the next BRETT coin” – a reference to the successful dog-themed meme coin on the Base chain.
Crucially, Base Dawgz isn’t just relying on hype like this.
It has real use cases and built-in utility, such as the DAWGZ staking protocol and the multi-chain architecture.
Base Dawgz’s Telegram channel members are particularly excited about the latter because it will allow holders to bridge their tokens to different blockchains easily.
Considering all this, the signs look promising for DAWGZ – even while other meme coins struggle.
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