The post Memecoin Social Buzz Could Signal Renewed Risk Appetite appeared on BitcoinEthereumNews.com.

Social media buzz around memecoins has jumped since the start of the year, matching the rise in market capitalization, which analysts say could mean risk appetite has returned to crypto. Several memecoins have recently posted strong gains, and a speculative rally pushed the market value of memecoins up, which caught traders’ attention and sparked a rise in crowd interest, the market intelligence platform Santiment said on Wednesday. Vincent Liu, the chief investment officer at trading firm Kronos Research, told Cointelegraph that traders are rotating back into liquidity-rich assets where reflexivity works fastest. “Memecoins offer tight narratives, deep social coordination, and immediate upside asymmetry, making them a natural vehicle for risk re-engagement as sentiment turns,” he said. There has been significant social chatter on memecoins among traders. Source: Santiment “Memecoins typically lead when risk appetite returns. The rebound in the Fear & Greed Index from extreme fear toward neutral reinforces this shift, if majors confirm with volume, the rally can broaden. If not, memecoins remain a short-lived sentiment trade.” Meme sector’s market capitalization rebounded Memecoins fell more than 65% over 2025, bottoming at a market cap of $35 billion on Dec. 19, the lowest level for last year, as risk-taking behavior dropped among traders and capital found more stable investments. The memecoin market cap has since rebounded, crossing $47.7 billion on Monday, up from $38 billion on Dec. 29, according CoinMarketCap. As of Thursday, it has settled around $45 billion. Memecoin transaction volumes also spiked, jumping from $2.17 billion on Dec. 29 to $8.7 billion on Monday, representing a 300% increase, before settling to around $5.22 billion on Thursday. The memecoin market cap and transaction volumes have both spiked in the last 30 days. Source: CoinMarketCap Liu said the rebound from previous lows is being driven by positioning resets and renewed…

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Filed under: News - @ January 8, 2026 5:27 am