MemeCore (M) Jumps 25% to Overtake PEPE Amid Market Dip

While much of the cryptocurrency market was painted red during a recent correction, one token managed to buck the trend. Popular meme tokens such as Dogecoin (DOGEDOGE+1.02%) and Shiba InuSHIB+2.53% posted daily losses as traders took a step back.

However, MemeCore (M) took a completely different path. The token registered an impressive 25% price gain in a single day, reaching a 10-day high and capturing attention across the crypto space.

MemeCore Flips PEPE in Market Capitalization

During its upward move, MemeCore pushed past $0.95 for the first time since October 12, before adjusting slightly to around $0.91.

This rally pushed MemeCore's total market capitalization above $2 billion. The milestone briefly placed M as the 51st-largest cryptocurrency overall and the fourth-largest asset in the meme coin category.

Along the way, MemeCore managed to pass the well-known frog-themed token, PEPE, which held a market capitalization of approximately $1.8 billion at the time.

Past performance of digital assets is not a guarantee of future results. Traders can view live market trends on platforms like Bitkub Market.

What Driven the Price Movement?

While pinpointing the exact driver behind sudden market moves is challenging, observers pointed to a recent infrastructure update shared by the MemeCore team on social media platform X.

The team announced that Meson Tunnel and Express services are no longer used for bridging MemeCore tokens. Instead, cross-chain bridging has been fully migrated to LayerZeroZRO-3.92%.

For USDCUSDC+0.18%.e tokens bridged through Meson services, we’re working with the Meson team to migrate liquidity from the old USDC.e contract to Stargate’s.

In simple terms, cross-chain bridging allows users to transfer tokens between different blockchain networks. Upgrading these systems often aims to improve liquidity routing and network efficiency.

Technical Outlook and Potential Targets

Crypto analyst Crypto With Gopal highlighted that MemeCore appears to be breaking out after an extended period of downward price pressure. He observed that buyers stepped in briskly after the price cleared the $0.80 resistance level.

The analyst outlined potential future scenarios depending on key price levels:

• Bullish Scenario: If MemeCore maintains its support above $0.85 and buying volume remains strong, the price could head toward $0.96 and potentially test the $1.00 psychological barrier.
• Bearish Scenario: If buying pressure fades or broader market selling returns, failing to hold the $0.85 support level could lead to a pullback toward $0.80 or lower.

High RSI Signals Overbought Conditions

Despite the strong rally, short-term indicators suggest traders should exercise caution. MemeCore's Relative Strength Index (RSI) reached a high reading of 90.

The RSI is a standard technical tool used to evaluate momentum on a scale from 0 to 100:

• Readings above 70 generally suggest an asset is overbought, meaning the price moved up rapidly and might experience a cool-off.
• Readings below 30 typically indicate oversold conditions, which some traders view as potential entry points.

An RSI of 90 places MemeCore deep in overbought territory, pointing to the possibility of a short-term price correction or period of consolidation.

Key Risks and Historical Volatility

Meme tokens are predominantly driven by market sentiment and speculative trading rather than traditional project fundamentals. As a result, sharp upward moves can quickly turn into steep declines.

MemeCore has demonstrated extreme price swings in the past. Earlier this year, the token recorded a severe 76% drop within a single day.

Additionally, on-chain analyst ZachXBT previously raised public questions regarding MemeCore's tokenomics and market valuation. Investors should weigh these risk factors carefully when following volatile asset movements.