Major memecoins kept public attention since the 2021 rally, mainly because they thrived on social and political trends. Most are launched around cultural moments rather than fundamental innovation.
That momentum weakened sharply in 2025. The memecoin market cap fell from roughly $137 billion to $41.61 billion over the past year, a 68% drawdown.
Trading volume dropped 81.96% from $24.2 billion to $4.20 billion during the same period.
Source: CoinMarketCap
Even so, the scale of the decline highlighted how quickly hype fades when liquidity thins and new buyers exit. Many tokens struggled to survive after short bursts of attention.
Why memecoins hype, rally, and crash
Memecoins gain traction through viral marketing or celebrity endorsements. Thus, a catchy and meme coin tied to a trending topic could ignite speculative demand before any fundamental value exists.
Thus, memecoin’s value comes from how many jump on the hype, believe in it, and buy it. For instance, early buyers brag on social media about their massive gains, thus drawing new buyers who fear missing out.
Such frenzy drives prices higher beyond any logical valuation, setting the stage for a future crash if demand drops.
Another factor driving memecoins higher is high-profile endorsements from celebrities and public figures, including Trump, Musk, and Melania.
Such endorsements send speculators scrambling to buy in FOMO, creating artificial demand that sends these tokens skyrocketing.
Reasons why 95% of memecoins drift toward zero
Surprisingly, just as the hype starts, these tokens crash when momentum fades, and earlier holders start cashing out. Historically, earlier token holders tend to cash out such tokens when prices rally, creating sell pressure.
At the same time, memecoins often fall victim to pump-and-dump schemes, in which influencers are used to market the token.
Once demand surges, driving prices higher, holders and even teams behind these tokens sell at the high, sending the token crashing. One such example was Libra, which was associated with the President of Argentina, Javier Milei, early in 2025.
Equally, celebrity-driven rallies turn short-lived if the celebrity moves to other projects, leaving the crypto in free fall.
Finally, most memecoins crash because they lack a sustainable business model, which undermines long-term investor confidence.
Therefore, as the market stabilizes and matures, and the frenzy fades, tokens without a clear use case and strong community support barely survive.
Tokens at risk heading into 2027
As noted above, most memecoins lack long-term viability; thus, their crashes to near-zero are inevitable.
Such coins include Official Trump, the memecoin associated with President Donald Trump. The Trump memecoin was launched in January 2025 and rallied to an ATH of $75.35.
Source: Messari
Since then, Official Trump [TRUMP] has declined 92.38%, trading at $5.6 at press time. The memecoin has relied on Trump’s political capital to survive.
However, this approach has proven unsustainable, and if 2026 sees a shift in power dynamics, his mojo will fade significantly.
With earlier investors disappointed and his attempt to pump it failing, Trump is unlikely to attract new buyers in 2026. Thus, by 2027, we could see the Trump memecoin crash ahead of the 2028 election, putting the final nail in the coffin.
Other memecoins likely to follow this trend include Melania [MELANIA], YZY Money [YZY], Cheems.Pet [Cheems], etc.
Final Thoughts
- Memecoins remain tied to culture, speed, and speculation, which makes their paths unpredictable but never irrelevant.
- Their next chapter may depend less on hype and more on whether communities still care enough to stay.