Memecoins Hype Surge to Year’s High as Traders Opt for Riskier Tokens: Santiment

Highlights:

• Memecoins are gaining attention, reaching their highest point this year.
• Traders are focusing on riskier tokens, chasing quick profits over careful investing.
• XRP and Dogecoin holders are optimistic, anticipating positive changes in regulations.

Talks about memecoins are now at their highest this year, rising after earlier slowdowns, according to Santiment. Two weeks ago, most attention was on Bitcoin and layer-1 coins during market swings. Attention has now turned to lead memecoins, according to Santiment’s Brian Quinlivan in a May 1 post.

📊 The sentiment toward Bitcoin, Ethereum, XRP, BNB, Solana, and Dogecoin are wildly different following crypto's impressive 3-week rebound. We cover how fear has transitioned to slight greed in our latest insight, in collaboration with @Bybit_Official! 👇https://t.co/MDG9cfW05M pic.twitter.com/rz3eBvZmbj

— Santiment (@santimentfeed) May 1, 2025

More people are now talking about risky tokens online as traders take a gambling approach instead of careful investing. This shows many are chasing quick profits based only on speculation, Quinlivan explained. He noted that while the crypto market rose 10% in eight days, Bitcoin’s smaller 7% gain shows traders shifted to riskier tokens. When Bitcoin stops climbing, people often look for bigger profits by buying more speculative assets.

Memecoin Sentiment Rises as Dogecoin ETF Filings Spark Optimism

Dogecoin has seen a strong rise in positive sentiment after a quiet April, following new ETF filings submitted in the US. While the SEC delayed its decision until mid-June, traders remain cautiously optimistic about the outcome. Quinlivan noted that DOGE interest had been low, but its social dominance just hit a three-month high due to rising discussions around Nasdaq’s ETF plans.

In April, 21Shares and Bitwise proposed launching spot ETFs for Dogecoin. On April 9, Nasdaq submitted a filing to the SEC for the 21Shares Dogecoin ETF. The SEC has pushed back its decision to mid-June. After a slow start to 2025, Dogecoin has returned to the top 10 cryptocurrencies by volume and market cap.

Rising Confidence Among XRP Holders Amid Positive Regulatory Shifts

Santiment analysis reveals growing confidence among XRP holders. The likelihood of approval rose from 65% in February to 85% by late April, as per Polymarket data. This surge in optimism is tied to shifts in the regulatory landscape, with the Trump-era SEC viewed as more crypto-friendly. Despite the SEC postponing its decision on Franklin Templeton’s XRP spot ETF proposal until June 17, the delay hasn’t dampened sentiment.

Investors remain hopeful that an ETF approval will attract more institutional investments. Although social media activity surrounding XRP has dropped in recent months, the number of positive voices within the community has increased.

Mixed Sentiment in the Crypto Market

Despite the gains in Dogecoin and XRP, the overall sentiment in the crypto market remains uncertain. Bitcoin’s strong performance at the end of April caught many traders off guard, especially those who had predicted further declines.

Santiment noted Ethereum (ETH) is recovering but still lags behind memecoins and newer altcoins in social buzz. In 2025, ETH’s social dominance is around 6-7%. Its commentary went from bearish to bullish, similar to other assets.

Meanwhile, Solana’s engagement has dropped to 4.4% of crypto discussions, down from 6-7% in January. Positive comments are increasing, even when prices don’t match. Solana is still part of ETF talks, with interest in a Solana Spot ETF growing. But SOL is caught between fading retail interest and fake hype.