Meme Coins Rally 10%-23% as Bitcoin Surpasses $100,000

Meme coins have once again captured the attention of the market, with the controversial MELANIA token making headlines. A report indicates that a group of traders who bought millions of dollars worth of MELANIA tokens gained nearly $100 million in profits by selling the meme coin at its peak.

Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE) experienced a rally alongside Bitcoin (BTC) as the largest cryptocurrency surpassed the $100,000 milestone and climbed past resistance on Thursday. However, the prices of DOGE, SHIB, and PEPE dipped slightly, down 2%, 1.60%, and 3.51% respectively on the day.

The top three meme coins by market capitalization observed nearly double-digit gains on Thursday after Bitcoin crossed the $100,000 milestone. DOGE, SHIB, and PEPE gained 10%, 9%, and 23% on the day, breaking past key resistances on the daily timeframe. However, in the early hours of Friday, the three meme coins erased part of their gains and faced a correction, likely a result of profit-taking by traders.

Bitcoin's rally to $100,000 was accompanied by a rally in top meme tokens across exchanges. The next two resistances for Bitcoin are $106,457 and $109,588. A key technical indicator, the MACD, flashes green histogram bars above the neutral line, signaling an underlying positive momentum in Bitcoin’s price trend.

MELANIA, the meme coin launched by the United States’ First Lady, is making headlines for allegations of a group of traders dumping the token at its peak for nearly $100 million in gains within days of launch. A report shows that a vast majority of the MELANIA token was exchanged for USD Coin (USDC), a stablecoin backed by the US Dollar. Another report alleges that traders purchased millions of MELANIA tokens minutes before the token was publicly launched, raising concerns of “insider groups,” and their trading activity.

Dogecoin is poised to extend gains by another 12% and test resistance at $0.21465, one of the key levels for the meme coin. Another resistance is at $0.24040, as seen on the daily timeframe. Both R1 and R2 are the upper and lower boundaries of FVGs on the daily price chart. DOGE could find support at $0.16358. RSI and MACD support a bullish thesis for Dogecoin, with RSI reading 63 and sloping upwards and MACD flashing green histogram bars above the neutral line, meaning that Dogecoin has a positive underlying momentum in its price trend.

Shiba Inu could extend gains by another 10%, and the SHIB/USDT daily price chart looks bullish. SHIB faces resistances at $0.00001532 and $0.00001688. These are two key resistance levels for Shiba Inu on the daily timeframe. A 10% rally would lead to a re-test of R1 and R2 would come into play as the target for Shiba Inu price. Shiba Inu could find support at $0.00001215. RSI and MACD support the thesis for price gain.

PEPE stands out among the top 3 meme coins with the highest likelihood of gains, 27%. PEPE is positioned for a double-digit price rally and a test of resistance R1 at $0.00001206, the upper boundary of an FVG on the daily timeframe. PEPE could re-test resistance at $0.00001336, and in the event of a correction, the $0.00000828 level could act as support. RSI is sloping upwards and reads 72, MACD flashes green histogram bars above the neutral line. Both momentum indicators are aligned with an extension of PEPE price rally.

As Bitcoin continues its climb past the $103,000 level and beyond, traders expect that BTC will revisit the previous all-time high above $109,000. In that case, the top five meme coins to watch, apart from DOGE, SHIB, and PEPE are Official Trump (TRUMP), Bonk (BONK), Fartcoin (FARTCOIN), Pudgy Penguins (PENGU), and FLOKI (FLOKI). The meme coins based on the Solana and Base chain could potentially rally higher alongside Dogecoin, Shiba Inu, and Pepe while market traders’ sentiment remains bullish and Bitcoin rallies. A flash crash in Bitcoin could usher in a market correction, typically the most speculative category of tokens suffer steep corrections meaning meme tokens could observe a notable decline.