In a market ruled by meme-driven volatility, May 5, 2025, gave a rare look of optimism—at least for those looking closely at the smart money.
On-chain data shows that even with recent price pullbacks across many high-profile meme coins, smart money investors were net buyers yesterday—not exactly the sign of a market in distress. If anything, this says kind of the opposite.
The newest on-chain indicators show that the meme coin sector has received a total of $2.76 million of inflow from smart wallets. Meanwhile, those smart wallets have taken $2.23 million of outflow from the meme coin sector. That leaves us with a net volume of $525,000. In short, the trading has been rather active for our intelligent friends.
Meme Coins See Mixed Sentiment, Select Inflows Point to Strategic Positioning
Several tokens attracted notable inflows from smart money, which certainly stood out in the data. Among the top gainers was #FARTCOIN, which saw a massive $1.11 million in inflows. This certainly indicates rising interest or large-scale accumulation by very few confident entities. Widely considered a novelty meme token, FARTCOIN seems to be keeping it relevant among traders willing to speculate on an obscure community-driven asset with viral appeal.
Other coins receiving investments were:
- Wrapped Bitcoin (WBTC): $112,000
- TITCOIN: $106,000
- BONK: $96,000
- AVA: $120,000
Recap: Smart money on chain activities in the memecoin market for 05/05/25
Yesterday, there was more inflow than outflow
Inflow: $2.76M
Outflow: $2.23M
Volume: $4.99M
Net Volume: $525KThere was inflow into: $WBTC ($112K) #TITCOIN ($106K) #FARTCOIN ($1.11M) $BONK ($96K) $AVA… pic.twitter.com/PdpEcHsBsM
— Stalkchain (@StalkHQ) May 6, 2025
The inflows into $WBTC and $AVA likely indicate more than just simple buying; they almost certainly reflect more complex hedging strategies or even cross-market activity. That’s because these two tokens have much more utility and perceived stability than pure meme plays. WBTC and AVA are practically the opposite of that kind of asset.
However, compared to some other cryptocurrencies, meme coins did not receive fresh net inflows but instead suffered net outflows. In this context, smart money appears to be reducing exposure to these speculative assets.
The main outflows were:
House: -645,000
Gork: -358,000
Arc: -80,000
Viral: -88,000
#Wfragsol: -86,000
The ongoing departure from $HOUSE and $GORK is especially remarkable, given that both coins took a beating during the recent correction in the meme coin market. Just the previous day, $GORK saw an almost 30% drop in price, while $HOUSE was down close to 20%. These outflows imply that confidence in these now not-so-funny tokens is still not what it could be, with smart wallets reallocating capital to safer, more promising places.
Smart Money Sees Opportunity, But Risks Remain
What renders this inflow activity particularly intriguing is its timing. The wider meme coin ecosystem has been feeling the heat recently, with some of the top tokens witnessing quite a bit of slippage. Yet, rather than setting off some kind of mass exodus, the data suggests that quite a few investors—especially those who are heavily invested and have a suite of more advanced strategies—are looking at this recent dip as a kind of buying opportunity.
This could show a faith that the meme coin market has not reached its high for this cycle or that certain tokens are priced lower than they should be after steep selloffs. It also brings up the chance of rotation inside the meme coin ecosystem, with money leaving poorer-performing tokens like GORK and HOUSE and going into newer or more exciting tokens like FARTCOIN and TITCOIN.
It is, however, necessary to keep expectations in check. While the total net inflow of $525,000 is a glowing figure, it is really more tepid when considered in the context of the larger market. Selling pressure can still be seen in several areas of the meme coin space, and sentiment feels tender. A renewed failure to uphold these inflows or new volatility in Bitcoin could easily turn these earlier signs of recovery into a memory.
Currently, the intelligent money seems to be cautiously optimistic and is selectively placing bets in a market notorious for its unpredictability. Traders who watch on-chain activity may find valuable insights in this behavior. However, the path forward remains uncertain in the ever-volatile world of meme coins.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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