Will SHIB and DOGE Bear the Brunt of Declining Memecoin Popularity?

The memecoin sector was one of the most profitable spaces in the cryptocurrency market for quite some time. However, in the last month, the

Memecoins, once the darlings of the cryptocurrency market, have had a tough time of it lately.

While the sector was once one of the most profitable in the market, over the past month, the performance has been lackluster, to say the least. In fact, over this period, Ethereum, the DePin sector, and the Data Services sector have outperformed the memecoin sector by a large margin.

This begs the question- what does this mean for the two blue-chip memecoins, DOGE and SHIB?

The declining popularity of memecoins may impact the market share for major coins

The market share of DOGE and SHIB was slowly eroding due to the emergence of the Solana memecoin.

Tokens such as BODEN and TRUMP gained massive popularity causing many memecoin traders to move away from traditional memecoins. As the memecoin hype dies down, both SHIB and DOGE may be vulnerable to significant price swings.

At press time, DOGE was trading at $0.166 whereas SHIB was trading at $0.00002532. Since the beginning of April both of these tokens have shown extremely high correlation and have moved in tandem in terms of price.

The price of both of these tokens declined significantly during this period, while showcasing multiple lower lows and lower highs. This pattern was indicative of a bearish trend.

The price of both of these tokens would need a significant amount of momentum to break out of this trend and see green again in the future.

Social media presence is a large determinant of the future of the memecoins’ price

A large determinant of the future of the memecoins’ price is the social media presence each token has. AMBCrypto’s analysis of Santiment’s data revealed that the social volume for all these tokens had fallen significantly implying that the popularity of both of these tokens was waning. A decline in popularity can severely impact the overall interest in the tokens and can harm price movement as well.

However, on the flip side, the weighted sentiment for both of these tokens had grown. This meant that even though the number of comments around these tokens had fallen, the type of comments being made around these memecoins was largely positive.

If the positive nature of these comments is enough to sway public opinion in DOGE and SHIB’s favor, a reversal could be expected in the future.