Meme cryptocurrency continues its downward spiral after recently hitting an all-time low
The meme cryptocurrency Degen (DEGEN) saw a remarkable drop in price after showing signs of recovery between June 18 and 19.
Data from CoinMarketCap shows that DEGEN fell to an all-time low of $18 on June 0.0074, but recovered some of the losses amid a broader rally in the memecoin market.
On June 18, DEGEN's social activity reached record levels, with Santiment reporting 17.92% social dominance and 2,970 mentions. Social Dominance shows the share of online crypto discussions focused on a particular asset compared to the top 100 cryptocurrencies.
The previously bearish sentiment on DEGEN since May 18 turned sharply bullish on June 18, reaching an all-time high weighted sentiment of 2.75.
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The altcoin season will start early according to this fundamental indicatorThis change caused increased trading activity and pushed DEGEN's price briefly above $0.01.
However, profit-taking followed, with the price down 14% to $0.009875 at the time of writing.
Looking at the technical indicators one can assume that potential further downsides are ahead for DEGEN. The Parabolic Stop and Reverse (SAR) indicator points have remained above the price of DEGEN since June 6, indicating a continued downtrend.
Indicator readings such as the SAR highlight the current downward pressure on DEGEN despite its recent rally, reflecting changes in trader sentiment.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
