MemeCore's Rally Ignites Bullish Optimism Amid Deepening Bearish Divergence

MemeCore (M), a Layer-1 blockchain project for meme tokens, has surged nearly 30% in the last 24 hours, reaching an all-time high of $1.176. This performance has outpaced the broader cryptocurrency market, which has shown relatively flat activity. The token’s price rally has drawn attention from both retail and institutional traders, despite growing concerns about technical indicators signaling overbought conditions and potential market exhaustion [1].

On-chain data reveals that MemeCore’s Relative Strength Index (RSI) has climbed to 87.04, entering the overbought territory (above 70), a classic sign of short-term price volatility or correction. Such readings often precede profit-taking and increased selling pressure, suggesting that traders may soon reassess their positions. Additionally, the token’s derivatives market is showing a negative funding rate of 0.094%, indicating a significant bearish bias among futures traders, as short positions dominate [1].

The token’s price is currently hovering just above a key support level at $0.93. Analysts warn that a breakdown below this threshold could trigger a decline toward $0.74, while sustained buying pressure could push the price higher, potentially reclaiming or even surpassing the $1.17 level. The bulls must defend this critical price floor to maintain momentum [1].

Trading volume for MemeCore has surged to $43.97 million in the past 24 hours, with a volume-to-market cap ratio of 2.50%, indicating strong liquidity and market participation. The moving averages also reflect an upward trend, with the 55 SMA at $0.9149 showing a 25.70% gain. This suggests a bullish bias in the short term, though the elevated RSI levels remain a cautionary signal [1].

MemeCore’s recent performance has been supported by strategic developments, including the expansion of its MemeFi ecosystem and the introduction of the MRC-20 token standard. The platform is building a dedicated blockchain for meme tokens, offering high-speed, low-cost transactions and tools for staking, governance, and analytics. These developments aim to position MemeCore as a long-term player in the meme coin sector, though risks such as regulatory uncertainty and liquidity challenges persist [2].

Despite these fundamentals, derivatives data highlights a growing divergence between spot and futures markets. While spot prices are rallying, futures traders remain bearish, with a negative funding rate indicating that short sellers are dominating the derivatives market. This mismatch suggests that while retail traders are optimistic about MemeCore’s short-term prospects, institutional participants are hedging against potential downside risks [1].

MemeCore’s recent listing on major exchanges, including Kraken and HTX, has contributed to its increased visibility and trading activity. The token’s surge to the top 100 cryptocurrencies by market cap follows a 1,110% rally in early July 2025, supported by strategic partnerships and a PoM consensus mechanism that rewards community engagement [2]. However, the token has also faced volatility, with a 27% drop in July triggering significant liquidations and raising concerns about sustainability.

The broader market context is also relevant, as rising interest in altcoins has shifted money flow away from leading cryptos like Bitcoin and Ethereum. MemeCore’s leadership in the rally reflects this trend, with its price gains outperforming traditional altcoins like Four and Ethena. However, the token’s extreme overbought conditions and bearish funding rate suggest that caution is warranted, and a short-term correction may be imminent [3].

Source:

[1] M Price Performance and Relative Strength (https://rsihunter.com/asset/m)

[2] MemeCore Price, m to USD, Research, News & Fundraising (https://messari.io/project/memecore)

[3] Crypto Gainers: MemeCore leads market rebound as Four ... (https://www.mitrade.com/insights/news/live-news/article-3-1094141-20250904)