Shiba

Pepe

<p>The meme coins have seen a significant recovery today, following a gloomy performance on the previous day. Nearly all the meme coins like Dogecoin, Shiba Inu, Pepe Coin, WIF, and others have recorded more than 10% today, indicating the growing confidence of the investors towards the crypto.</p>
<p>Although the broader market recovery could be a potential reason behind the recent recovery, other factors might also have helped gains in the sector. Here we explore the potential reason behind the recent rally in the meme coins sector.</p>
<h2 id="why-meme-coins-are-rising-today">Why Meme Coins Are Rising Today?</h2>
<h3 id="ftx-repayment-boosts-market-sentiment">FTX Repayment Boosts Market Sentiment</h3>
<p>The <a href="https://coingape.com/glossary/cryptocurrency/" target="_blank" rel="noopener noreferrer nofollow">cryptocurrency</a> market is showing signs of optimism today, with some analysts pointing to potential cash injections as a key driver. Speculation is swirling around FTX, the collapsed exchange, which may distribute a whopping $16 billion to former customers.</p>
<p>Meanwhile, experts believe a significant portion of this cash could flow back into crypto, fueling growth. This optimism seems to have boosted market optimism while driving the <a href="https://coingape.com/meme-coin/" target="_blank" rel="noopener noreferrer nofollow">meme coins</a> prices higher as well today.</p>
<p>Notably, reinvestment by these crypto-savvy individuals could create substantial buying pressure, boosting prices. While the exact impact remains to be seen, even a partial return of these funds could be a major shot in the arm for the crypto market, let alone the meme coins.</p>
<h3 id="bitcoin-etf-inflow-ether-etf-anticipation-boosts-meme-coin-performance">Bitcoin ETF Inflow &amp; Ether ETF Anticipation Boosts Meme Coin Performance</h3>
<p>The <a href="https://coingape.com/spot-bitcoin-etfs-see-143-million-inflows-on-friday-institutions-buying-the-dips/" target="_blank" rel="noopener noreferrer nofollow">U.S. Spot Bitcoin ETF</a> recorded an inflow of $143.1 million on July 6, indicating that the institutions are likely to have regained confidence in the crypto. This has provided a robust boost to the broader crypto market, as well as the meme coins.</p>
<p>On the other hand, the anticipation over Ethereum ETF approval by the U.S. SEC in mid-July has also lifted market confidence. For context, the market is betting on an altcoin rally along with renewed confidence toward meme coins, following the <a href="https://coingape.com/spot-ethereum-etf-to-go-live-on-july-15-eth-bull-run/" target="_blank" rel="noopener noreferrer nofollow">U.S. Spot Ethereum ETF</a> approval.</p>
<p><strong>Also Read: <a href="https://coingape.com/dogecoin-regains-0-1-support-despite-whales-dump-500m-doge/" target="_blank" rel="noopener noreferrer nofollow">Dogecoin Regains $0.1 Support Despite Whales Dump 500M DOGE</a></strong></p>
<h3 id="vaneck-shares-crypto-post-on-solana">VanEck Shares Crypto Post On Solana</h3>
<p>VanEck was the first firm in the U.S. to apply for a <a href="https://coingape.com/vaneck-files-solana-etf-us-sec/" target="_blank" rel="noopener noreferrer nofollow">Solana ETF</a> with the U.S. SEC. This move has fueled confidence in the crypto market, bumping up the Solana price as well as the Solana-based meme coins.</p>
<p>However, in a recent X post, VanEck shared a cryptic post that hints that the firm has added Solana to his portfolio. For context, in a recent X post, VanEck said “i got sol, but im not a soldier.”</p>
<h2 id="meme-coins-rally">Meme Coins Rally</h2>
<p>The overall meme coins market cap was up nearly 13% today to $41.77 billion, with almost all the major players in the segment rallying. For instance, <a href="https://coingape.com/price/dogecoin/" target="_blank" rel="noopener noreferrer nofollow">Dogecoin price</a> soared more than 10% today, with <a href="https://coingape.com/price/shiba-inu/" target="_blank" rel="noopener noreferrer nofollow">Shiba Inu price</a> rising about 15%. Simultaneously, <a href="https://coingape.com/price/pepe-coin/" target="_blank" rel="noopener noreferrer nofollow">Pepe Coin price</a> advanced about 11% while dogwifhat price jumped 17%.</p>
<p>Meanwhile, the recent <a href="https://coingape.com/crypto-market-crash-why-bitcoin-and-altcoins-are-falling/" target="_blank" rel="noopener noreferrer nofollow">crypto market crash</a> was mainly due to immense selling pressure from the German and U.S. governments. For context, the governments have dumped massive amounts of Bitcoin recently to exchanges, which has sparked concerns in the crypto market, also impacting the meme coins’ performance.</p>
<p>In addition, the panic selling in the market was further fueled by Mt. Gox’s repayment to the creditors in BTC and BCH. However, analysts have suggested that the government <a href="https://coingape.com/german-govt-moves-500-bitcoin-another-btc-dump-imminent/" target="_blank" rel="noopener noreferrer nofollow">selling BTC</a> is likely to have very little impact on the crypto market.</p>
<p>For context, Ki Yong Ju, founder of CryptoQuant, downplays fears of a government Bitcoin dump impacting the market. He points out that despite $224 billion flowing into Bitcoin since 2023, government-seized Bitcoin sales only amount to roughly $9 billion.</p>
<p>This translates to a mere 4% of the total Bitcoin value realized since 2023. Ju advises investors not to let <a href="https://coingape.com/glossary/fud/" target="_blank" rel="noopener noreferrer nofollow">FUD (fear, uncertainty, doubt)</a> surrounding government selling influence their trading decisions. This comment might have also helped gains in the meme coins sector today.</p>
<p><strong>Also Read: <a href="https://coingape.com/xrp-flashes-buy-signal-for-0-50-as-whales-notable-investors-buy-the-dip/" target="_blank" rel="noopener noreferrer nofollow">XRP Flashes Buy Signal For $0.50 Price As Whales, Notable Investors Buy The Dip</a></strong></p>
<p>The post <a href="https://coingape.com/why-meme-coins-are-pumping-today/" rel="noopener noreferrer nofollow">Why Meme Coins Are Pumping Today?</a> appeared first on <a href="https://coingape.com" rel="noopener noreferrer nofollow">CoinGape</a>.</p>

Why Meme Coins Are Pumping Today?

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