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The meme coin sector is getting absolutely clobbered with double-digit losses, according to data provided by CoinGecko.
Shiba Inu (SHIB), the second-biggest meme coin by market cap, is down roughly 11% over the past 24 hours.
Bonk (BONK), FLOKI (FLOKI), and dogwifhat (WIF) have also suffered from massive losses. WIF is down by as much as 14% over the past 24 hours.
Meme coins, which are perceived as high-risk speculative assets, are reacting to Bitcoin's weakness. The largest cryptocurrency has slipped back below the $66,000 level after failing to gain a footing above the $67,000 level and dragging the entire cryptocurrency market down.
Every meme coin with a market cap over $200 million is in the red. Notably, cat in a dogs world (MEW) is the only exception after adding 2.4%.
As of now, XRP remains the only top 100 cryptocurrency in the green after unexpectedly decoupling from Bitcoin on Monday.
Don't expect another altcoin season
Financial analyst Murad Mahmudov recently opined that another altcoin season was unlikely to happen due to the fact that the excess savings of American households have now dried up after peaking in 2021. Coincidentally, many altcoins are still far away from their 2021 peaks despite Bitcoin reaching a new all-time high earlier this year. Dogecoin and Shiba Inu, the biggest meme coins, are down 83.3% and 79%, respectively.
The analyst has also noted that altcoins are suffering from "a supply gut" due to how easy it is to generate new cryptocurrencies in 2024.
Celebrity meme coins managed to revive the speculative frenzy last month, but it seems like their success was very short-lived.