Signs That Meme Coin Renaissance Is Coming Back

In recent developments, the meme coin market has made a strategic comeback after massive price corrections.

In the past months, the digital asset market has seen increased trading activity and higher transaction volumes for popular tokens like Dogecoin (DOGE), Shiba Inu (SHIB), and PEPE.

Market data from popular digital asset tracking platform IntoTheBlock suggests that investor confidence is gradually building. The platform hinted that several indicators point to significant memecoin rebounds.

Dogecoin, Shiba Inu, and PEPE Outlook

Meme coins saw significant price movements in late 2024 and early 2025. Notably, their market capitalization peaked above $110 billion before experiencing a decline.

According to market data, the total global memecoin market capitalization has dropped to approximately $50 billion as of March 2025.

However, many experts believe this is a sign of stability and a potential breakout rally after a volatile season.

Furthermore, Elon Musk-backed Dogecoin, the largest memecoin by market cap, continues to lead trading volumes.

However, IntoTheBlock data shows that its transaction count has fluctuated.

Similarly, SHIB and PEPE have also seen notable activity, with PEPE showing one of the most significant surges in transactions around October 2024.

Despite recent pullbacks, these tokens maintain a solid user base. Notably, their market performance suggests a possible recovery phase.

Many community members and investors are betting big on this particular token. For example, there are talks on memecoin ETFs that could drive more price recovery for this niche ecosystem.

Meme Coin Traders, Transaction Count, and Holder Profitability Outlook

One key sign of a potential memecoin recovery is the number of active traders.

Data from IntoTheBlock shows that the highest trader activity happened in October 2024.

Reports show that memecoin traders peaked at nearly one million. This growth, as highlighted, was primarily driven by increased interest in new tokens and market speculation.

Although the number of traders has since dropped, in January 2025, thousands of active traders were still recorded.

This figure marks a steady base compared to the sharp spikes in previous months.

In addition, transaction counts also show the sentiment of the memecoin market. Dogecoin consistently leads in transactions, reaching 14,400 thousand at peak points.

SHIB and PEPE also saw high transaction counts, especially during market rallies. In particular, SHIB had a major spike in transaction activity in October 2024, suggesting strong engagement from its community.

Still, holder profitability is another crucial factor. Many memecoin holders saw over 80% profitability at their highest point, particularly in bullish phases.

However, recent market conditions have reduced profitability rates, with some tokens showing below 40% of holders in profit as of early 2025.

Despite this, historical trends suggest that recovery cycles often follow periods of decline.

What Next for Meme Coins?

While the memecoins market remains fragile, IntoTheBlock data shows they are far from fading out.

The fluctuating market capitalization, active trader base, occasional price increases, and corrections could only indicate that investors’ activity is still available.

Similarly, if trading volumes and profitability rates rise again, a new memecoin rally could emerge.

However, a recent comment from Ark Invest CEO Cathie Wood has brought about discourse in the community about the future of memecoin. According to Wood, memecoins are neither sustainable nor worth it.

Still, Former Binance CEO Changpeng Zhao argues against this objection with his recent purchase of trendy memecoin MUBARAK.