MAGA, DOG, BONK prices drop as GameStop stock fall hits meme coins

GameStop stock (NYSE:GME) price drop has had a profound impact on the meme coins, leading to widespread declines in meme coin prices.

While GameStop Corp. is a renown American video game, consumer electronics, and gaming merchandise retailer, its stock among the meme stocks which is the reason as to why its price movement correlate with that of meme coins.

The popular meme stock is AMC Entertainment Holdings (NYSE:AMC), which on 11 June, 10:34 GMT-4 was up 3.61% contrary to the GameStop (GME) stock that was down 1.13% at the same time.

GameStop stock decline post Roaring Kitty hype

On June 7, the price of GameStop (GME) stock soared to a high of $61.27 driven by a Reddit post by Keith Gill (who is commonly referred to as Roaring Kitty) showing $116 million bet on the stock. Roaring Kitty's investment revelation sparked excitement among investors renewing interest in the GameStop stock.

However, the excitement was short-lived as GameStop announced plans to sell up to 120 million shares, leading to dilution of existing shares and diminishing investor confidence. The corporates move lead to a bloodbath as the meme stock has plummeted by 61.97% from the high set on June 7 to $23.30.

While the GameStop stock price decline has not affected the rest of meme stocks, it has had a significant effect on meme coins, which seems to be bearing the brunt.

DOG, MAGA, BONK leading the meme coin market drop

The decline in GameStop's stock price had a profound impact on the entire meme coin market. To start with, the combined market cap on the top meme tokens has dropped by about 3.6% over the past 24 hours according to data from Coinmarketcap.

In addition, a majority of the top meme coins have seen significant price drops lead by MAGA which has dropped by over 45% over the last week and by over 15% in the last 24 hours.

Other like Dog (Runes) DOG have dropped by over 33% over the past week and by over 13% in the last 24 hours after experiencing a meteoric rally since it was launched. Bonk (BONK) has dropped by over 12% over the past week while dogwifhat (WIF) has dropped by over 22% in the same period.

Dogecoin (DOGE), one of the most popular meme coins, experienced a 24-hour drop of 4.01%, with its price falling to $0.1389. Similarly, Shiba Inu (SHIB) saw a 24-hour drop of 4.89%, with its price declining to $0.00002195.

Other meme coins that have seen significant price drops include MAGA (TRUMP) Pepe (PEPE), Maneki (MANEKI), Sonic The Goat (GOAT), Memecoin (MEME) and BOOK OF MEME (BOME).

However, today’s market drop is not confined to meme coins seeing that the global crypto market cap is has decreased by 3.87% over the last day to $2.44 trillion. Therefore, meme coin investors can breathe while still watching to see how the market will behave moving ahead.