Analyst Darkfost said Bitcoin has recorded a maximum drawdown of 54% since reaching a high in October last year, with the asset now trading about 35% below that peak. Over the same period, cumulative sell pressure in the meme coin segment on Binance has exceeded $1.4 billion, making it one of the hardest-hit sectors in the current bear market. Darkfost said meme coins lack fundamental support and are driven mainly by market sentiment and cultural trends. He added that the sector’s share of total altcoin market capitalization has fallen to a record low of less than 3%, a sign that liquidity continues to leave the segment. In his view, meme coins tend to face heavier downside pressure during broader market corrections, and investors should stay alert to the risks tied to the category.
Odaily reported that analyst Darkfost said Bitcoin has posted a maximum drawdown of 54% since reaching a high in October last year, and is currently trading about 35% below that peak.
Over the same period, cumulative sell pressure in Binance’s meme coin segment has exceeded $1.4 billion, according to Darkfost, making it one of the sectors hit hardest in the current bear market.
He said meme coins lack fundamental backing, with prices driven mainly by market sentiment and cultural trends. The segment’s share of total altcoin market capitalization has now fallen to a record low of less than 3%, reflecting continued liquidity outflows. Darkfost added that meme coins often face greater downside pressure during market corrections and said investors should be cautious about the related risks.
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