Is memecoin season and the bull market over?

Historically, the hit season marks the end of a bull market cycle. According to the popularinvestment research report recently published by Messari, now is the time to take profits.

Research report

CoreThe insights are as follows: The chart below deserves the most attention. It compares the correlation between Ethereum and Memecoin market caps and finds an interesting pattern: Infrastructure surges → Memes surges → Memes plunges → a broader down trend.

This is very logical: Cryptocurrency bull runs usually start with BTC or smart contract platforms due to factors such as liquidity, risk-reward profile, and technological breakthroughs. These assets signal that “cryptocurrencies are not dead yet,” attracting speculation and development. Speculation then turned to riskier assets such as memecoins, which could post explosive gains. However, memecoins are often the first to crash, signaling the end of a wave of speculation in crypto assets. So, what kind of market are we in now?

The leading memecoin’s pump season may be (almost) over. New memecoins like $BORPA, $LUMI or moonthat may print money, but overall, investors are starting to take profits, indicating that the speculative cycle is coming to an end.

pump.fun is another confirmation.

In their research, Messari recommends the following

investingframework based on this model: 1. Buy memes when the classic DeFi/crypto game starts to rise; 2. Invest the entire when memecoin drops past the threshold Portfolio Transfer to cash and stop trading.

Traditionally, Memecoin has been viewed as a non-serious late-stage speculative asset characterized by

explosive returns and violent declines. However, the market continues to adapt and the future profitability of this strategy is not guaranteed. Importantly, according to this framework, we are now more likely to be in a post-bull market than a pre-bear market. Will the bull market be short-lived? In fact, there is no guarantee that bull and bear markets will last very long.

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