Elon Musk-fueled meme coin rally appears to have finally ended.
Dogecoin/link and shiba inus (SHIB) have posted significant losses over the past 24 hours, per data from Quinceko.
DOGE has lost over 12.3% in value over the past 24 hours and trades at around $0.10, according to data from Quinceko. Despite today’s heavy losses, DOGE is still up 67.5% over the past 30 days.
Intense trading for the canine-crypto pumped its daily trading volumes across multiple exchanges to $2.3 billion, a 30% jump over the previous day.
With a market capitalization slightly above $14 billion, DOGE is still the 8th-largest cryptocurrency. If the downturn continues, however, it could drop its ranking to layer-1 blockchain Cardano (ADA).
Over $15.09 million worth of Dogecoin future positions were liquidated over the past 24 hours, per data from Coinglass. Most liquidations (~80%) came from blown-out long trades.
SHIB backs DOGE
In the past, SHIB and DOGE price actions have strongly correlated. Today is no different.
The second-largest meme coin, Shiba Inu (SHIB), is also down 8.5%, wiping off the coin’s monthly gains over the past 24 hours, per data from Quinceko.
At press time, SHIB changes hands at around $0.00001.
Despite the price dip, SHIB enjoyed a modest 8.95% increase in daily trading volumes to $459 million over the past 24 hours.
Nearly 98.03% of SHIB long trades worth almost $1.15 million have been liquidated over the same period, suggests data from Coinglass.
With a market capitalization slightly above $6.5 billion, SHIB is the 14th-largest cryptocurrency.
Besides meme-coins, leading cryptocurrencies Bitcoin and Ethereum have also lost nearly 5% over the past 24 hours.
The primary reason behind the market-wide bearish price action is likely around growing insolvency fears of crypto exchange FTX.
If unfortunately FTX becomes another LUNA, nobody in the industry can benefit from the accident including Binance. Both customers and regulators will lose some confidence about the whole industry. I hope CZ can think about stop to sell FTT and make a new deal with SBF.