Meme Coins are Crawling: Big Drop Came, Perspective Changed! - Coin Bulletin

Dogecoin (DOGE) and futures open positions of other popular meme coins are experiencing a significant decrease, indicating a reduced risk appetite as leveraged positions are being liquidated.

Open interest in the meme coin sector in cryptocurrency derivatives markets has fallen sharply from peak levels in recent months. Dogecoin (DOGE) futures open interest fell from $3.58 billion in December 2024 to $1.49 billion according to the latest data, down 58.45%.

Speculative Peaks Behind?

This decline in Dogecoin is part of the sharp downward trend seen in the overall market. Other major meme coins like PEPE, BONK, and WIF have also experienced significant value losses.

• PEPE, in its open positions, experienced a 71.93% decrease, falling from $1.25 billion to $351 million.
• BONK, decreased by %75.10 to $178 million from $715 million.
• WIF decreased by 69.83% from $653 million to $197 million.

Despite having a lower market value, the highly popular Shiba Inu (SHIB) and Floki (FLOKI) have also joined this downward trend. The open positions of SHIB decreased by 74.41% to $83 million from $323 million, whereas FLOKI dropped by 69.18% to $12.9 million from $41.7 million.

Leveraged Positions Liquidated

According to Glassnode's data, the rapid decrease in open futures positions in meme coins indicates that the market has largely liquidated leveraged trades. The increasing closure of speculative positions suggests that investors are starting to act more cautiously and there is a slowdown in the meme coin frenzy.

These declines raise questions about whether there is a trend change in the sector or just a temporary correction. However, what is clear for now is that the risk appetite in the meme coin market has significantly decreased and leveraged transactions have rapidly disappeared from the market.