Is the Memecoin Hype Over? Bitcoin and Blockchain Fundamentals Rise

The crypto ecosystem is in constant evolution, marked by cycles of euphoria and correction. In recent months, the enthusiasm for memecoins, these highly speculative assets, seemed to indicate a new wave of fleeting exuberance. However, a shift is taking place: Bitcoin and layer 1 blockchains are gradually taking center stage again, a phenomenon that could signify a decisive turning point for the market. Investors appear to be turning away from risky bets in favor of more robust and functional assets, an evolution that is not insignificant. According to Santiment, traders’ attention is now focused on fundamental cryptos, to the detriment of ultra-speculative assets. This reorientation could reflect a collective awareness.

Bitcoin and Layer 1 Blockchains Take the Lead

The recent report from Santiment provides insight into a paradigm shift in the attention given by the crypto community. According to data collected from social media and specialized forums, Bitcoin, Ethereum, Solana, Toncoin, and Cardano now represent 44.2 % of discussions, while the six largest memecoins collect only 4 % of exchanges. This dynamic sharply contrasts with the trend observed in recent months.

This turnaround illustrates a return to fundamentals. “The increase in interest for Bitcoin and layer 1 blockchains reflects a more mature and informed approach by investors,” emphasizes Santiment in a publication on February 10, 2025, on platform X (formerly Twitter). These networks play a structuring role in the ecosystem, as they support smart contracts, decentralized applications, and the evolution of digital finance. In contrast, memecoins primarily thrive on a speculative enthusiasm disconnected from technological innovation. This change of direction could therefore represent a desire to build on more solid foundations.

This renewed interest in blockchain infrastructures comes at a time when memecoins are experiencing a noticeable decline in discussion volume. Santiment’s analysis shows that the frenzy surrounding assets like Dogecoin, Shiba Inu, and Pepe is gradually fading. Indeed, increased volatility and a lack of concrete use cases are pushing many investors to reevaluate their strategies. This phenomenon recalls previous market cycles where phases of intense speculation were often followed by a return to more fundamental assets.

Capital Flows That Confirm the Trend

Beyond social signals, capital flows corroborate this change in dynamics. Between February 8 and 9, a total of 224,410 ETH was withdrawn from exchange platforms, marking the largest movement of this kind in two years. A massive withdrawal that reflects a strengthening of investors’ confidence, as they opt for long-term holding rather than immediate selling.

At the same time, another major event occurred: 14,000 BTC dormant for seven to ten years was moved on February 10. This type of transaction always draws attention, as it may signal either a return of former holders to the market or a desire to reposition assets. However, these bitcoins have not been sent to exchange platforms, which currently excludes a desire for rapid liquidation. “Such movements do not necessarily signal a decrease in Bitcoin’s price,” states Crypto Dan, a contributor at CryptoQuant. Historically, similar cases have not always led to corrections, suggesting a strategic management of holdings rather than a sign of panic.

Not to be overlooked, these fund movements demonstrate an enhancement of investors’ positioning on fundamental assets. This dynamic fits within a market maturity perspective, where money is flowing towards safer values, at the expense of ephemeral trends.

The strong return of layer 1 blockchains and Bitcoin does not signify the end of memecoins, but it reflects a rebalancing of priorities. Historically, phases dominated by these ultra-speculative assets have often preceded marked market corrections. This transition to more robust assets could therefore be a sign of a gradual cleansing, where blind speculation gives way to more strategic investments. Thus, this change of course also comes at a key moment for the industry. With expectations related to regulations, technological evolutions, and the rise of scalability solutions, the crypto market is at an important turning point. The question remains: are we witnessing a new era of more rational investment, or is this simply a temporary effect before a new speculation cycle?