The meme coin market shrinks to one-third... Skepticism spreads amid PEPE rebound rumors

Source: TokenPost Original Title: Meme Coin Market Shrinks to One-Third… Growing Skepticism Amid PEPE Rebound Rumors Original Link:

Meme Coin Market Slump…‘PEPE Rise’ Skepticism Spreads

As the meme coin market enters a downturn, concerns are mounting that reigniting the blue flames will be difficult. CryptoQuant’s CEO expressed a skeptical view, stating, “The meme coin market is over.” Despite some claims of a PEPE rally, key indicators such as market dominance remain weak.

Currently, meme coins account for only 3.4% of the total altcoin market. This is a reduction to one-third of the 10.9% peak recorded in November, just a month ago. This period coincided with the peak of pro-cryptocurrency expectations triggered by President Trump’s election. However, contrary to expectations, the pace of regulatory environment changes has been slow, and geopolitical risks along with macroeconomic uncertainties have re-emerged, rapidly cooling investor sentiment. Instead of new fund inflows or community enthusiasm, the market is overwhelmed with saturation, scams like ‘rug pulls,’ and declining trust, leading to short-term speculative trading rather than long-term holding.

However, not everyone is pessimistic. Some investors see the sharp decline in meme coin dominance as a bottom signal and a buying opportunity at the low. Looking back at past meme coin cycles, there have often been explosive rises early in the year followed by corrections until the end of the year, and some analysts suggest 2026 could be the next rebound point.

PEPE’s Technical Rebound Signals

PEPE has begun to show very positive technical patterns. It is transitioning from a double bottom(double bottom) to a triple bottom(triple bottom) pattern, forming higher lows than previous declines, which signals rapid influx of buying interest. If it breaks through the current resistance level of $0.0000049 and turns into support, there could be a 75% short-term upside potential. The target price is around the November high of $0.0000075.

If macro conditions support it, the upward potential could be even greater. For example, if the US Federal Reserve implements quantitative easing(QE) in 2026, investor sentiment toward high-risk assets could revive, potentially pushing PEPE up to $0.0000165, representing a 280% increase.

However, whether to bet on this scenario is up to individual investors. Entering now could allow participation in the next rally, but if things go wrong, significant losses could occur.

Key Summary

🔎 Market Interpretation

• The cooling of the meme coin market is partly due to delays in regulatory easing expected after Trump’s election, along with the re-emergence of macroeconomic headwinds.
• As trust among market participants declines and rug pull cases increase, short-term trading dominates over long-term holding.

💡 Strategic Points

• Some remain optimistic, viewing the decline in meme coin dominance as a bottom signal, and if PEPE forms a technical rebound pattern, short-term upside potential can be analyzed.
• If investor sentiment recovers, structural upward movement is possible, but downside risks are also significant, requiring cautious entry.