Memecoins, AI tokens, and mining stocks outperform as investors rotate into higher-risk crypto assets after year-end slowdown
The crypto market has opened 2026 with renewed strength, led by a sharp rebound in memecoins and select altcoins following a subdued end to last year. Among the top performers, PEPE surged more than 30% in a single session, emerging as the clear leader of the memecoin resurgence during the post-holiday rally.
PEPE, with a market capitalization near $2.5 billion, posted the largest gains among major memecoins. Other popular tokens such as Dogecoin, Shiba Inu, BONK, FLOKI, Dogwifhat, and fartcoin also recorded double-digit percentage increases, signaling renewed speculative appetite. Analysts note that assets which underperformed late in the year often rebound strongly in January, particularly smaller and less liquid tokens.
Beyond memecoins, AI-related tokens posted strong advances, with several rising between 8% and 50%, reflecting growing interest in artificial intelligence narratives. Meanwhile, Bitcoin mining stocks and crypto-linked equities also outperformed, with multiple names gaining more than 10% in a single day.
Large-Cap Crypto Lags the Rally
In contrast, Bitcoin rose about 2%, while Ethereum and Solana gained under 5%, reinforcing the view that the rally is driven by sector-specific rotations rather than a broad market surge.
Market data suggests that early-year optimism and portfolio rebalancing are fueling the bounce. Historically, positive January performance has often correlated with stronger returns later in the year, keeping traders cautiously optimistic as momentum builds.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.