Meme Coins at a Crossroads: Can DOGE, SHIB, and BONK Sustain Momentum Amid Declining Volumes?

The meme coin sector, once a playground for retail speculation, now faces a pivotal test of its staying power. Dogecoin (DOGE), Shiba Inu (SHIB), and BONK—Solana’s rising star—have shown technical resilience amid declining trading volumes, but their long-term viability hinges on navigating shifting market psychology and institutional skepticism. This analysis examines their on-chain metrics, behavioral dynamics, and structural risks to determine whether these tokens can maintain momentum in a maturing crypto landscape.

Technical Resilience: A Fragile Foundation

DOGE and SHIB have demonstrated short-term bullish patterns, but their reliance on viral sentiment and weak volume trends raises concerns. DOGE recently surged 10.3% in 24 hours, stabilizing just below $0.200, with its 50-day moving average above the 200-day line—a classic sign of a long-term uptrend [4]. However, trading volumes for DOGE have dropped nearly 20%, signaling reduced derivatives activity and capital outflows as investors await clearer signals [2]. Similarly, SHIB’s 8% daily gain has kept it above key moving averages, but its 40% volume decline since mid-2025 suggests waning retail enthusiasm [2].

BONK, the Solana-based meme coin, presents a mixed picture. While its 24-hour volume remains robust ($270–283 million), its price near $0.00002345 is supported by Fibonacci retracement and institutional accumulation. A 300% increase in institutional holdings contrasts with 110 billion tokens sold by whale wallets, creating a tug-of-war between bullish and bearish forces [1]. A breakout above $0.00002345 could target $0.00002739, but a breakdown risks a deeper correction to $0.00001971 [1].

Market Psychology: Viral Sentiment vs. Structural Weakness

Meme coins thrive on social media-driven sentiment, but this creates a paradox: their cultural appeal drives adoption, yet it also conditions users for short-term, dopamine-driven behavior. For DOGE, a 52% surge in Q3 2025 was fueled by a viral TikTok campaign and institutional accumulation, but a 4.19% single-day drop followed when the price fell below its 200-day moving average—a stark illustration of sentiment’s fragility [5].

SHIB’s resilience, meanwhile, is underpinned by a bullish MACD divergence and a growing community-driven ecosystem. Yet its speculative appeal is waning as investors shift to utility-backed projects like Smart Yield Coin (SYC), which offer AI gas optimization and Hold-to-Earn rewards [4]. BONK’s stability amid reduced volumes hints at a solid footing, but its volatility remains a concern for long-term holders [2].

Retail dynamics further complicate the picture. On-chain data reveals a divergence between institutional accumulation and retail selling. For BONK, sophisticated investors have increased stakes by 300%, while whale wallets sold 110 billion tokens since August 2025 [1]. This imbalance risks creating a liquidity vacuum if retail participation fails to rebound.

The Crossroads: Declining Volumes and Evolving Investor Preferences

Declining trading volumes across DOGE, SHIB, and BONK reflect a broader shift in investor behavior. Derivatives traders, once a key liquidity source, are exiting positions as open interest for BONK drops from $73.4 million to $39 million [4]. This signals reduced confidence in long-position sustainability. Meanwhile, retail investors are increasingly drawn to newer projects like Layer Brett and Little Pepe, which offer Ethereum Layer 2 scalability and staking rewards [1].

The industrialization of meme production—via platforms like Pump.fun—has also accelerated the lifecycle of tokens, turning them into short-term pump-and-dump vehicles. This strips meme coins of their cultural value and exacerbates their speculative nature [1].

Outlook: Can They Sustain Momentum?

For DOGE and SHIB to maintain relevance, they must evolve beyond their meme roots. DOGE’s integration into payment systems and SHIB’s Shibarium Layer 2 network are steps in the right direction, but their success depends on attracting real-world utility [3]. BONK’s deflationary mechanics, including a 1 trillion token burn by the BONK DAO, could help mitigate supply-side risks, but its high retail exposure remains a vulnerability [5].

Investors must also weigh the risks of sentiment-driven volatility. As one analyst notes, “Meme coins are a double-edged sword—offering rapid gains but exposing investors to steep corrections when viral momentum fades” [5].

Conclusion

Meme coins like DOGE, SHIB, and BONK are at a crossroads. Their technical resilience and on-chain activity suggest potential for growth, but declining volumes and shifting investor sentiment pose existential risks. While institutional accumulation and deflationary mechanics offer structural support, the sector’s long-term viability depends on its ability to transition from speculative hype to tangible utility. For now, these tokens remain high-risk, high-reward propositions—perfect for traders but increasingly precarious for long-term holders.

Source:
[1] BONK's Technical Weakness and Institutional Selling Pressure Cautionary Tale for Meme Coin Investors [https://www.ainvest.com/news/bonk-technical-weakness-institutional-selling-pressure-cautionary-tale-meme-coin-investors-2508/]
[2] Meme Coin Price Prediction: DOGE, SHIB, PEPE test key ... [https://www.mitrade.com/insights/news/live-news/article-3-1079988-20250829]
[3] Here is a simple technical analysis of 6 popular meme coins [https://www.binance.com/en/square/post/25047693236049]
[4] Bonk (BONK) Price Prediction: Bonk Eyes Rebound from Strong Support Backed by Fibonacci Signals [https://bravenewcoin.com/insights/bonk-bonk-price-prediction-bonk-eyes-rebound-from-strong-support-backed-by-fibonacci-signals]
[5] The Behavioral Economics of DOGE: Navigating Meme ... [https://www.bitget.com/news/detail/12560604942917]