- On Monday, the price of MemeCore (M) collapsed by about 10%, dropping its value from $2.16 to $4.0 with a market cap of $5.2 billion.
- The decline in the cryptocurrency comes after intense selling pressure after it recently touched a new all-time high, along with a correction in the overall cryptocurrency market.
- Amid the collapse in prices, the cryptocurrency has now entered the oversold zone.
On April 27, MemeCore (M) price saw a correction after a 10% decline on the daily chart, breaking its bullish momentum.
In the last 30 days, MemeCore’s value has risen by approximately 82%, helping its value rise from $2.16 to $4.0. This decline in the cryptocurrency was expected after it witnessed a month-long rise despite serious allegations about the project from ZachXBT, one of the popular investigators on the chain.
At the time of writing this, MemeCoreM-11.57% It is trading at around $4.02, down about 8% over the past 24 hours, according to CoinMarketCap. The cryptocurrency’s market capitalization is currently around $5.2 billion, and the daily trading volume is $19.38 million, which has increased by approximately 47%.
MemeCore Prices Drop as Cryptocurrency Market Turns Cautious
The decline in M price comes after facing rejection at $4.40. There are many factors behind the collapse in the price of M. This comes with a correction in the overall cryptocurrency market after a long rally in the past few weeks.
The price of M rose more than 20% in one day and more than 50% over a few weeks back in April. This increase was mainly supported by network developments, including hard forking, which resulted in lower gas fees.
Amid these major developments on the network, traders have begun accumulating the cryptocurrency. They sell their tokens to book profits. This is a very common pattern in the memecoin sector, where the cryptocurrency rises sharply and then falls dramatically.
In addition, there is another controversy going on in the cryptocurrency sector. Most recently, the leading detective in the series, Zack XPT, It raised some serious questions about token distribution and economics, sparking fear in its community.
He wondered why insiders or portfolios linked to the team controlled so large a share of the supply, with some analyzes suggesting figures as high as 90%. The project has been challenged to explain its multi-billion dollar value, but the real liquidity in circulation remains weak. This sparked fear in the cryptocurrency community, and some people began comparing it to other memes like RAVE which collapsed after similar scrutiny.
However, the MemeCore team has not officially responded to this claim. The team is constantly expanding its network through new development.
Apart from this, the overall cryptocurrency market has also declined Bitcoin (BTC) The price fell by about 1.64%, falling below $77,000 amid escalating geopolitical tensions, including developments related to the United States and Iran.
MemeCore price chart shows a classic correction after a parabolic move
MemeCore price is currently following a classic correction pattern after reaching an all-time high. According to the TradingView price chart, the cryptocurrency is currently breaking through a narrow upward channel that has been in place since early April, with higher lows forming on each pullback.
After M price touched the $4.84 level, the bullish momentum started to lose steam as sellers intervened to take profits.
The chart has not broken the key support levels around $3.80, but the speed of the decline shows that the rally has become over-extended.
According to the current price chart, the 14-day RSI is currently hovering around the 16 level, reaching the extreme oversold zone.
Aside from that, short-term moving averages give a sell signal, while longer averages like the 20 and 50 period remain supportive of the overall uptrend.
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