Meme Coin Market Cap Surges to Over $54 Billion in

Meme coin market cap surges to over $54 billion — here’s what’s driving the surgeThe meme coin’s market capitalization is currently hovering above $54 billion, up nearly 20% from the past day. This surge is evident as approximately seven memecoins now rank among the top 100 cryptocurrencies by market capitalization, marking a significant shift in investor interest in these once “speculative assets.”A recent market report from QCP Capital sheds light on this phenomenon, revealing what’s driving the meme token surge.What’s driving Meme coins’ surgeAccording to QCP Capital, the meme coin’s price increase can be attributed to a “speculative buying frenzy” during Asian trading hours. In particular, the company’s report suggests that meme coin gains are being driven by retail FOMO (fear of missing out), indicating a significant shift in market participation dynamics.Analysts at QCP Capital also observed an increase in leveraged buying activity, suggesting that the “strong” momentum may pause if Bitcoin surpasses its all-time high in USD terms. The market report reads:Altcoins, especially meme coins, are rallying strongly as retail FOMO really starts to kick in. Leveraged buyers likely won't let up until we break out of the all-time highs, which could be any time now.So far, major meme coins such as Dogecoin, Shiba Inu, PEPE, and BONK have all been registered. The gains are huge, with gains of 27%, 57%, 46% and 68% respectively in the past 24 hours. The gains reflect growing investor interest in meme coins and underscore a broader trend of retail investment driving the cryptocurrency market.Dogecoin and Shiba Inucoin, in particular, have cemented their place among the top 15 global cryptocurrencies by market capitalization, indicating that meme coins are gaining significant traction among investorsRetail participation drives crypto rallyThe surge in memecoins is part of a larger trend of increased retail participation in the cryptocurrency market. Analysts at JPMorgan echoed QCP Capital’s observations, noting that retail traders played a crucial role in the cryptocurrency market rally throughout February.The study, conducted by J.P. Morgan Research Group under the guidance of Managing Director Nikolaos Panigirtzoglou, highlights the importance of "small-scale investors" - often referred to as "mom and pop" traders - in driving the growth of prominent cryptocurrencies such as Bitcoin. The price hit a two-year high last month.The researchers noted:We found that retail impulse towards cryptocurrencies rebounded in February and thus may be responsible for the strong rebound in the cryptocurrency market this month.Meanwhile, Bitcoin has reached new heights over the past 24 hours, trading above $66,000, up nearly 30% from the past week. This upward trend is also evident in the asset’s market capitalization, which currently stands at over $1.2 trillion.