The recent surge in digital assets signals that NFTs and memecoins rally after a slump may be gaining real traction again. After weeks of quiet and price declines, the NFT market cap climbed from $3.5 billion to $3.9 billion (+12%), and the memecoin sector rose from $47 billion to $52 billion (+11%). This uptick marks an emerging rotation back into speculative crypto assets, even as broader economic uncertainty lingers.
The uptick in NFTs
In the NFT sector, much of the growth was in a few collections. For example, CryptoPunks’ sales increased by about 22.8% and Mutant Ape Yacht Club’s sales increased by about 36.5%, while Milady Maker’s sales surged nearly 80%. Among leading blockchains, BNB Chain posted a +53% jump, Flow gained +43%, and Polygon rose +9.3%. Yet even as these gains stand out, iconic collections like Bored Ape Yacht Club (BAYC) continued to drop, indicating that the bounce is selective rather than uniform.
The memecoin comeback
On the memecoin side, the recovery looks broader. Top tokens such as Dogecoin (DOGE) rose about 8.7%, Shiba Inu (SHIB) climbed 10.4%, and Pepe gained around 7% in the last week. Other standout performers included Bonk (+11.8%) and Dogwifhat (+14.2%) on the Solana chain, while the Trump Token saw roughly a 14% jump. This broader participation suggests retail traders may be returning to risk-driven assets again.
What triggered the shift?
A few factors appear to underlie this rebound:
- Growing risk appetite: With several weeks of subdued activity, traders seem to be rotating back into the risk assets group, including NFTs and memecoins.
- Liquidity returning: The bounce follows a sharp correction, especially in the NFT market, which saw a fall of ~46% from October 5 to November 5.
- Technical outlets: Some blockchains posted significant gains (BNB Chain, Flow, Polygon), which may have drawn attention and reinvestment into the sector.
- Speculative surge: Memecoins being more broadly up suggests that speculative momentum is returning, not just targeted token-by-token rebounds.
- Macro overlay: While major macro risks persist, the fact that risk assets are advancing hints that sentiment may be cautiously optimistic.
Key takeaways for investors
- Selected rebound: Spotty Recovery: Not all collections or tokens are enjoying a recovery. Some blue-chip NFTs are still lagging behind other components, making the selection of quality assets key.
- Risk remains: Even though speculative segments are showing life, the underlying macro environment hasn’t become calm. Major external shocks could reverse gains.
- Timing matters: If this rotation holds, we may be entering a phase where NFTs and memecoins rally after a slump becomes the theme, and the current setup could build into a larger cycle.
- Monitor liquidity: Investigate on-chain indicators such as exchange supply for memecoins and sales volume for NFTs to gauge whether the bounce is meaningful.
Conclusion
The headline trend is clear: NFTs and memecoins have bounced back from a sharp drop. So, what caused this positive outcome? The answer is returning risk appetite, speculative rotation, and renewed interest in selective collections and tokens. The long-run implications of this being a trend versus just a fleeting moment are relevant to broader sellers and markets and the behavior of surface-level investors. For now, the sectors appear to be revived and showing a positive trend.
