Among the top memecoin gainers, catcoin has increased by 40% over the last day despite losses reported by other crypto assets.
In the last day, Catcoin (CAT) has increased in value amidst a broader cryptocurrency meltdown that caused the market capitalization to drop by 5.2%. The memecoin had a 40.1% increase today and had to erase the majority of its weekly losses as a result of liquidations that dominated the market.
The community behind the cat-themed memecoin, Catcoin, continues to come together, as seen by the 197% increase in daily trade volume to $18.2 million. The asset had a jump of over 1,100% last month, indicating a resurgence of interest in memecoins driven by the market hype and hysteria.
Catcoin leads Memecoins
Catcoin is at the top of the trending charts after posting excellent performance in the green zone, helping bulls hang onto their recent gains. Memes with cat themes are down 7.1% overall, with a $1.9 billion market valuation. $337 million is also the amount traded. Additionally, MEW and Leia had inflows of 35% and 19.6%, respectively.
MEW has risen 284% in the last week, dominating memecoin charts with cat themes as its community clamors for more contributions. In line with other cryptocurrency assets, WEN and MOG saw declines. Exits from both assets were 5.2% and 0.9%, respectively. But POPCAT and LMEOW fell by 29% and 33%, respectively, indicating more outflows in a day.
However, with an 11% leak as its bigger assets record outflows, Solana memecoins also suffer. Dogwifhat is presently trading at $3.96, down 7.4% from the previous day, although it has still gained 22.2% over the last week. With 11% daily losses and 35% weekly losses, the well-known coin SLERF follows the losing trend.
Wider crypto market tanks
Bitcoin and other cryptocurrencies saw withdrawals as the halving event got closer, outside of the memecoin ecosystem. The asset value decline is associated with macroeconomic variables and a minor stock market meltdown. This demonstrates the ongoing relationship between investor mood in both markets.
However this is not implausible given that the cryptocurrency market’s highs were achieved thanks to a surge in institutional investment. Anticipation of the US Securities and Exchange Commission (SEC) approving a spot Bitcoin ETF led to more conventional investment in the market starting in Q4 2023. As a result, the asset’s price increased to $44,000 and ultimately reached an all-time high last month.
Over 5% of Bitcoin is lost as positive U.S. factory data propels the dollar index to a nearly five-month high
According to research, the top cryptocurrency by market value, Bitcoin, dropped 4% to $66,342 in a gloomy conclusion to the previous week’s consolidation between $68,000 and $72,000. The whole cryptocurrency market saw losses, with more notable declines seen in Ethereum (ETH), Solana’s SOL, and Dogecoin (DOGE). Concurrently, there was an almost 8% decline in the wider 20 index.
The manufacturing purchasing manager’s index (PMI) for the Institute for Supply Management (ISM) was issued on Monday. It revealed that industrial activity surprisingly increased in March, marking the first increase since September 2022.
In February, the PMI was 47.8, but last month it increased by 2.5 points to 50.3. The headline number stopped 16 months of decline and moved over 50, undermining the rationale for a rate decrease by the Federal Reserve. The pricing index surged to 55.8%, up 3.3 percentage points from the reading of 52.5% in February, while the new orders indicator also returned to expansion territory.
After the manufacturing report, Bloomberg reports that the amount of Fed rate cuts priced into swap futures for this year has decreased to less than 65 basis points. Put differently, the market now anticipates that the Fed will rescind its prediction of three rate reductions of 25 basis points in 2024. There is now less than 50% chance that the Fed will announce its first rate lowering in June.
24 million USD Solana (SOL) is stuck in Lido because of a programming error
Due to a technical issue, SOL holders through Lido cannot withdraw assets valued $24 million.
As to research a programming issue on blockchain Solana has been spotted by liquid staking protocol Lido (LDO), which prevents users from withdrawing the 24 million USD worth of SOL that has been frozen.
With TVL up to 31 billion USD at the time of writing, Lido’s liquid staking solution is the largest DeFi protocol now available on Solana; yet, with the emergence of competing projects like Jito (JTO) or Marinade (MNDE), it is not particularly popular. This is said to be one of the causes for Lido’s announcement in October 2023 that Solana support would be discontinued, necessitating that customers take their money out by February 4, 2024.
Lido’s smart contract retained up to 112,000 stSOL, which was valued 24 million USD at the time of writing, even though the project ceased offering an interface for investors to transfer stSOL staking tokens back to SOL. After that point, users must communicate directly with smart contracts in order to retrieve their assets, which might be challenging for people who are not well-versed in blockchain technology.
There is no way to withdraw money without utilizing the original web interface, as some investors who faced late deadlines clarified on Lido’s Discord channel. They claim they are ‘not programmers’.
Not only that, but on March 30, a programmer of P2P, the company that ran Lido’s liquid staking solution on Solana before it was shut down, revealed that a flaw in the smart contract had been found, making the withdrawal process considerably more difficult for these customers.
According to this coder, it is impossible to predict when the vulnerability will be fixed because it would need modifying the smart contract’s code, which will take a lot of time and work.
In the meanwhile, other Solana community members have demonstrated further methods, such as the use of the Sanctum protocol, allowing those who still possess stSOL to convert their holdings to other tokens.
While staking accounts for up to 65% of the overall supply of SOL, only 3.5% of these staking activities are liquid, indicating that there is still an opportunity for growth in this area on Solana.
Read more: CRYPTO MARKET REVIEW IN 2023 AND NARRATIVES IN 2024