CryptoQuant CEO Ki Young Ju has called meme coin markets “dead” as recent on-chain data shows meme coin dominance in altcoin markets has dropped to multi-month lows.
This declaration has sparked debate within the cryptocurrency community. Some suggest that the bottom is near, while others see mounting losses and shrinking liquidity as signs of serious decline.
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Meme Coin Dominance Hits Lowest Point Since Early 2024
Data from CryptoQuant shows that meme coin dominance in altcoin markets has declined continuously this year. It peaked at around 0.109 in November 2024. However, the metric now sits at 0.034, matching lows from February 2024. This decline signals a clear move away from speculative meme tokens.
CoinGecko data reinforces this picture. Market capitalization across meme-coin sub-categories surged into a clear peak in late 2024 and early 2025, before entering a sustained downturn. On a yearly basis, leading meme tokens have suffered heavy losses.
Dogecoin (DOGE) is down 66.3%, while Shiba Inu (SHIB) has fallen 71.3%. Losses are even more pronounced for Pepe (PEPE), which declined 81.6%. Lastly, Bonk (BONK) shed 76% of its value over the same period.
Overall, the meme coin market has dropped by 65.9%, according to Artemis data. Solana’s meme coin sector has been especially hard hit. Joao Wedson, founder and CEO of Alphractal, observed that,
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“Meme coins and altcoins in the Solana ecosystem just hit their worst phase — for many, they’re simply dead.”
He also noted that payment-focused altcoins remain resilient, indicating a divide between utility and speculation.
Why Did Meme Coins “Die”?
Analysts outlined several reasons for the decline in meme coin dominance. A trader argued that ultra-cheap launches, lacking protection against rug pulls, have eroded trust, community, and long-term holding, leaving only short-term extraction.
“You literally can thank Pumpfun and Alon for this..It should never have costed under $1 to launch memecoins with zero protection against rugs. We entirely lost the sense of community and HODL from being rugged so many times. Nobody has faith, everyone just extracts,” the DeFiApe posted.
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Notably, research by Solidus Labs found that 98.7% of tokens launched on Pump.fun exhibited signs of pump-and-dump schemes. In parallel, activity on Raydium reveals that roughly 93% of liquidity pools, representing about 361,000 pools, display indicators commonly associated with soft rug pulls.
Analyst Mikko Ohtamaa further added that the sector has become overcrowded.
“The world does not have enough attention for 25,000,000 memecoins. And even with the winners, ‘investors’ lose money….Because there is no investment in memecoins, there is only participation in a pump. You do not buy memecoins because you invest in them; you buy memecoins because you think it will pump, and you hope to sell at the top. You do not care about crime; you want to be part of the crime,” the analyst remarked.
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Will Meme Coins Recover?
Despite prevailing negativity, some remain convinced that meme coins will rebound. They pointed to the decline in the dominance as a signal of a potential bottom.
Gordon, a well-known commentator, argued on X that meme coin critics are “incredibly short sighted and low IQ.” He stressed that meme coins have been a primary driver of crypto attention and volume, predicting a future resurgence.
“The only reason there is any attention on crypto is meme coins. The only reason there’s any volume is meme coins. Meme coins aren’t going anywhere and they will lead the next bull run,” he claimed.
For now, the memecoin market stands at a crossroads. Whether recovery or decline continues will depend on wider market conditions, shifting sentiment, and the ability of legitimate projects to set themselves apart from scams.