It looks like the memecoin party might be winding down, because according to Santiment, the crypto community is shifting its focus back to the big players, to Bitcoin and other Layer-1 assets like Ethereum, or Solana.
No more fun?
Santiment shared that these top Layer-1 assets are now getting 44% of the crypto conversation, while memecoins are being discussed less and less on social media.
Why the change of heart? Analysts think it’s likely thanks to the volatility and speculative altcoin price dominance falling behind.
In other words, people are tired of the wild swings and are looking for something a little more stable.
Santiment sees this as a good thing, calling it generally a sign of a more stable and sustainable market environment.
Memecoins, often driven solely by hype and gambling, represent excess greed where traders chase rapid, short-term gains without considering long-term viability.
Fundamentals matter
Bitcoin and Layer-1 networks, on the other hand, are the foundational infrastructure of the crypto industry.
And basically, users are finally realizing that long-term success requires more than just a catchy name and a cute dog.
“Increased focus on these assets usually reflects a more mature and informed approach by the community, which prioritizes security, innovation, and real-world adoption”.
This shift towards utility and established market positions suggests a healthier market cycle, and it encourages a more balanced ecosystem and reduces the risk of another speculative mania.
The decreased hype around memecoins shows we’re in a healthy cool-down period, so time to chill out and think long-term.
Not all memecoins are bad?
Of course, there are always exceptions, especially after the newest memecoin mania was fueled by the launch of Donald Trump’s namesake coin.
But even that token, which has zero utility, skyrocketed to $73 before crashing 78% to around $16 in just three weeks.
This Bitcoin cycle has been a story of Re-Accumulation Ranges
And as has been the case throughout the cycle…
Any downside deviations below the Range Low (green) will represent outsized bargain opportunities for Bitcoin$BTC #Crypto #Bitcoin https://t.co/kfS48DYzbr pic.twitter.com/wJ5i3NBnly
— Rekt Capital (@rektcapital) February 10, 2025
As for the overall crypto market, things are showing some slight signs of recovery, as the total market capitalization is up a bit to $3.35 trillion.
Bitcoin is leading the charge, reclaiming $98,000, while Ethereum is trying to bounce back to $2,700 in the time of writing.
