Popular meme coins PEPE, SHIB, FLOKI and BRETT were seen enjoying their time in the green as Bitcoin surged past the psychological threshold of $65,000, sparking hopes of an impending bull run.
According to CoinGecko data Bitcoin (BTC) saw an impressive rally over the last 24 hours, rising from $63,680 to an intraday high of 65,743 before stabilizing at $65,328 at press time.
The bellwether cryptocurrency still has to climb 11.2% to reach its all-time high of $73,737. This seems possible as Bitcoin has entered a technical bull market, having risen over 23% from its monthly low.
The bullish case for Bitcoin
Bitcoin has several potential catalysts for reaching new highs, with the primary driver being the U.S. Federal Reserve’s 50 basis point interest rate cut, which generally benefits risk assets like Bitcoin.
Moreover, a Polymarket poll shows traders expect Bitcoin to reach a new high this year, with 66% of participants predicting the uptrend to continue.
Complementing this, Bitcoin’s Fear Greed Index has now risen to 61 from yesterday’s neutral of 50, indicating the market is now in a state of Greed, with traders more likely to buy.
At the same time, data reveals that institutional funds are flowing into spot Bitcoin ETFs. According to SoSoValue, over the last four days, spot ETFs saw inflows exceeding $600 million, raising the total to $18.31 billion.
Bitcoin balances on exchanges have also hit a new low, suggesting that a large number of holders have transferred their coins to self-custody. As of Sept. 27, exchanges held 2.34 million Bitcoin, down from the year-to-date peak of 2.7 million.
Memecoins take off
Amid the growing bullish sentiment around Bitcoin, popular memecoins experienced significant gains, with many surging by double digits. The overall market capitalization for memecoins shot up 16.5% to $54.9 billion in the past 24 hours.
Ethereum-based memecoin Pepe (PEPE) jumped 16.7%, becoming the top gainer in the crypto market on Sept. 27 as its price rose to $0.0000104, back to levels last seen at the beginning of August. The meme coin’s daily trading volume saw a massive jump, hovering around $2.3 billion while its market cap stood at $4.37 billion.
Shiba Inu (SHIB), Floki (FLOKI), and Brett (BRETT) also joined the memecoin rally, riding the wave with impressive gains of 16.3%, 15.4%, and 13.8%, respectively.
When Bitcoin performs well, it boosts investor confidence and sparks greater interest in alternative coins, including memecoins. This can result in a positive cycle, where increasing prices attract more investors, further fueling price growth.