Crypto analytics platform Santiment says that three memecoins are taking off even as Bitcoin’s (BTC) price declines.
Santiment says that the market caps are increasing for memecoin projects Dogecoin (DOGE), Shiba Inu (SHIB) and ApeCoin (APE).
APE is the digital asset associated with the Bored Ape Yacht Club non-fungible token (NFT) collection.
According to the firm, the three meme coins are showing divergent price action from Bitcoin, which has declined recently, as the social volume indicator for the three digital assets is trending upward. The social volume indicator tracks key crypto terms on social media platforms like Telegram or Reddit.
“The week has kicked off with some memecoin magic, as Dogecoin, Shiba Inu, and ApeCoin have enjoyed minor market cap rises. As is typically the case with these types of assets, high social volume spikes will signal tops. DOGE excitement is heating up.”
According to Santiment, trading volume soared for dog-themed Dogecoin once the price increased early Monday, rising to a 16-week high.
The firm also notes that peer-to-peer payments network Litecoin (LTC) is seeing lot more interest ahead of its halving slated for August 2nd based on trading volume, and trading volume is also on the rise for smart contract platform Ethereum (ETH).
“Traders have hopped on to Dogecoin following the sudden price jump the memecoin enjoyed earlier today. We have also seen Litecoin interest rise to week highs with the August 2nd halving rapidly approaching, and Ethereum should be watched as well.”
Santiment is also keeping a close eye on the market value to realized value (MVRV) for altcoins, which the firm says is flashing bullish for some digital assets, including decentralized exchange (DEX) Quickswap (QUICK), ETH layer-2 scaling solution OMG Network (OMG) and open-source blockchain network Radicle (RAD).
MVRV compares an asset’s total market cap to its realized value and can be used to time market tops and bottoms.
“Altcoins have some justification to buy with average traders well underwater across short, mid, and long-term timeframes. QUICK, OMG, and RAD have traders showing serious FUD (fear, uncertainty and doubt) with losses piling up, which historically makes them less risky to open or add to a position in.”
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