The wave of euphoria that carried memecoins after the presidential election has abruptly receded from the crypto landscape. In just a few months, these digital assets have seen their valuation collapse by 56% according to CoinMarketCap, wiping out all the gains made following Donald Trump’s victory.
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The memecoin market loses 70 billion in three months
The memecoin market is going through a particularly difficult period, having lost more than half its value in just a few months. According to data from CoinMarketCap, the total market capitalization of these digital assets fell from $124 billion at the beginning of December 2024 to just $54 billion on March 5, 2025a staggering 56% drop.
This spectacular fall follows an all-time high of $137 billion reached on December 8. Even the high-profile launches of memecoins by Donald Trump and Melania Trump in January were not enough to reverse this downward trend.
According to experts in the crypto sector, several factors explain this collapse. Anmol Singh, co-founder of Zeta Markets attributes this to “the economic uncertainty associated with the Trump administration” as well as “the mix of economic and foreign policies in the US”. Add to this the lack of regulation, insider trading scandals and manipulations orchestrated by public figures.
Survival of the fittest: Dogecoin leads the purge race
Faced with this major correction, market consolidation seems inevitable. Analysts predict that only the major memecoins will survive this purge, while the multitude of minor tokens will “slowly disappear”, according to forecasts by Anmol Singh.
Dogecoin, supported by Elon Musk President Trump’s senior advisor – currently dominates this segment with 53% of total memecoin capitalization. He is followed by SHIB ($7.7 billion) and PEPE ($2.9 billion). Trump’s official memecoin (TRUMP) occupies fourth place with a capitalization of $2.6 billion.
Investor confidence has been significantly shaken by the scandals surrounding these assets. Singh denounces including the blatant exploitation of celebrities, opinion leaders, cabals and insiders who seek to boost chips by leveraging their influence, then take profits from the retail traders they lure in their wake.
This memecoin debacle is causing investors to refocus on Bitcoin, whose dominance of the crypto market has now reached 60%.
As a journalist at Coinpri, I’ve been captivated by the world of bitcoin and blockchain since 2020. The decentralized aspect of Bitcoin particularly piqued my interest. Since then, I’ve been working constantly to spread my knowledge, hoping one day to see a world where everyone fully enjoys their financial freedom.
