Meme coin market cap plummeted 65% in 2025, with trading volume down 72% over the same period

TechFlow news, December 26 — According to Cointelegraph, the memecoin market suffered a sharp downturn in 2025, plunging 65% from approximately $100 billion at Christmas 2024 to $35 billion, while trading volume dropped 72% year-on-year to $3.05 trillion. Once regarded as a barometer of retail investor risk appetite, memecoins now face shrinking liquidity, declining participation, and waning speculative enthusiasm.

Political narratives were the primary driver behind the explosive growth of memecoins in 2024, with U.S. presidential election-related tokens dominating social media and on-chain activity. However, after high-profile token projects linked to Trump and Milei failed, market confidence was severely damaged, accelerating the sector's further decline.