CryptoQuant CEO Declares “Memecoins Are Dead” – What Does This Mean for the Market?
December 13, 2025 – By Kamina Bashir, edited by Leonard Schellberg
The memecoin sector, once a vibrant and attention-grabbing corner of the cryptocurrency market, is currently facing a significant downturn, sparking debates about whether these tokens have seen their peak or are on the verge of a revival. The CEO of CryptoQuant, Ki Young Ju, recently stirred the crypto community by boldly stating that "memecoin markets are dead," a claim supported by new on-chain data showing the dominance of memecoins at the altcoin market is at its lowest point since February 2024. ### Steep Decline in Memecoin Dominance
According to CryptoQuant’s data, the share of memecoins within the altcoin market has been continuously shrinking throughout 2025. While the peak dominance reached around 0.109 in November 2024, this figure plummeted to just 0.034 as of early December, mirroring levels not seen in almost a year. This signals a waning investor interest in speculative memecoins, with capital shifting away from these assets.
Similarly, CoinGecko corroborates the downward trend by highlighting the decreasing market capitalization of major memecoin categories. Once buoyant at the end of 2024 and the start of 2025, these sectors have since followed a steady decline. Leading memecoins have suffered sharp losses when compared year-over-year:
- Dogecoin (DOGE): Down 66.3%
- Shiba Inu (SHIB): Down 71.3%
- Pepe (PEPE): Down 81.6%
- Bonk (BONK): Down 76%
Artemis data points to an overall market drop of approximately 65.9% for memecoins, with the Solana memecoin ecosystem hit particularly hard. Joao Wedson, CEO of Alphractal, remarked, “Memecoins and altcoins in Solana’s ecosystem are now in their worst phase – for many, they’re simply dead.” He added that altcoins with a clear payment utility still hold up better, emphasizing the market’s growing preference for utility over mere speculation.
What’s Behind the Memecoin Crash?
Several reasons have been cited for this abrupt decline. One popular theory among traders points to the flood of cheaply launched memecoins, often without proper safeguards against "rug pulls" — frauds where developers disappear with investors’ funds. This practice has eroded trust, community spirit, and long-term holding enthusiasm.
A user named DeFiApe noted on social media platform X (formerly Twitter): “Thanks to Pumpfun and Alon, it should never have cost under $1 to launch a memecoin without rug protection. So many rug pulls destroyed community trust and the HODL mentality. Now, no one believes; everyone just wants quick profits.”
Supporting this, a study by Solidus Labs found that 98.7% of tokens launched on Pump.fun showed signs of pump-and-dump schemes. Similarly, about 93% of Raydium’s liquidity pools, around 361,000 in number, exhibited characteristics linked to “soft rug pulls,” where liquidity is gradually drained.
This has transformed what used to be some of the most promising yield farming opportunities in DeFi into enormous liquidity sinks characterized by large pools but minimal trading volumes. Crypto analyst Wazz summarized: “Memes used to be fun high-volatility LP opportunities. Now they’re huge liquidity sinks with eight-figure liquidity pools but zero volume.”
Another expert, Mikko Ohtamaa, highlights the issue of market saturation: “There are 25 million memecoins but not enough global attention to go around. Even the few winners see investors losing money because memecoins are not genuine investments; they’re just pump events. Buyers don’t care about fraud; they want to be part of the hype and profit from price moves.”
Is a Memecoin Comeback Possible?
Despite the widespread negative sentiment, some members of the community remain optimistic. They interpret the falling dominance as a potential floor formation, indicating that memecoin prices might stabilize and rise soon.
On X, user Mel00nee recommended buying the “cockroaches” and holding on for gains, suggesting a contrarian betting opportunity. Likewise, commentator Gordon called memecoin critics “extremely shortsighted,” arguing that memecoins still drive much of the market’s attention and trading volume. According to Gordon:
“The only reason there is any attention on crypto is because of memecoins. The only reason there is trading volume is because of memecoins. They’re not going anywhere and will lead the next bull run.”
A Market at a Crossroads
Currently, memecoins find themselves at a crucial juncture. Whether they rebound or continue to decline depends on broader market conditions, overall investor sentiment, and the ability of credible projects to distinguish themselves from fraudulent scams.
As the crypto community watches closely, the memecoin space remains a high-risk, high-reward playground where excitement, speculation, and caution collide.
Related Articles:
- Ethereum Hits $20,000: Expert Predicts 2026 as a Breakout Year (published 1 hour ago)
- Xiaomi Gives Millions Instant Crypto Access with Sei Integration Starting 2026 (published 12 hours ago)
- a16z Forecasts Top Crypto Trends for 2026 — What to Watch (published 21 hours ago)
- Will Ripple Become a Bank? What This Means for XRP (published 1 day ago)
About BeInCrypto:
In accordance with the Trust Project guidelines, BeInCrypto is committed to unbiased and transparent journalism. Readers are advised to verify facts independently and seek professional advice before making investment decisions based on this content.
Stay informed with our Telegram group for trade signals, market updates, and analyst Q&A.
Join our Telegram group here.