STATISTICS | Pump.Fun MemeCoins Face Mass Extinction – Less Than 1% Survive

The collapse of the memecoin market has contributed to a staggering $1 trillion loss in overall crypto market capitalization. Analysts warn that this shift in capital allocation may keep investors hesitant, potentially limiting crypto market rebounds - even in response to favorable inflation data.

CryptoGuru··3 min read

The memecoin craze on Pump.fun appears to be running out of steam, with the platform’s token survival rate plummeting below 1% for a fourth consecutive week.

Pump.fun’s so-called ‘graduation rate’ – the percentage of tokens that successfully transition from the incubation phase to full tradability on a Solana decentralized exchange (DEX) – has dropped to record lows, according to Dune Analytics. To graduate, a token must meet specific liquidity and trading benchmarks.

Since February 17 2025, this rate has remained under 1%, marking the first time in the platform’s history that its success rate has been this bleak over an extended period.

Historically, Pump.fun’s graduation rate was never particularly high, peaking at just 1.67% in November 2024. However, at the time, the sheer volume of tokens launched meant thousands still made it to market. During the week of November 11 2024 alone, 323,000 tokens were created, with approximately 5,400 successfully graduating into Solana’s decentralized finance (DeFi) ecosystem.

Declining Interest and Market Challenges

With a drop in token creation on both Pump.fun and Solana, weekly token graduations have averaged just 1,500 in the past month. This sharp decline reflects weakening investor enthusiasm, as memecoins increasingly garner a reputation for being little more than speculative lottery tickets or opportunistic cash grabs by their creators.


Even politically-affiliated tokens haven’t been immune to this downturn. A memecoin ($TRUMP) associated with former U.S. President Donald Trump has lost 84% of its value since its January 19 2025 peak, per CoinGecko data.


The downturn in the memecoin market persists despite broader macro-economic factors that could have provided support. In February 2025, Matrixport analysts linked Bitcoin’s struggles to a stronger U.S. dollar, which had tightened liquidity. However, since late February 2025, the U.S. Dollar Index (DXY) has weakened, dropping from a high of 107.61 to 103.95 as of mid-March 2025.

 

Despite this shift, memecoins – previously one of the strongest narratives of the bull market – have shown little sign of recovery.

“The U.S. dollar has recently weakened, leading to a rebound in liquidity indicators and some marginal improvements in inflation data. Yet, memecoins continue to struggle significantly, with no apparent recovery,” Matrixport noted in a recent report.

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The collapse of the memecoin market has contributed to a staggering $1 trillion loss in overall crypto market capitalization. Matrixport analysts warn that this shift in capital allocation may keep investors hesitant, potentially limiting crypto market rebounds – even in response to favorable inflation data.

Looking ahead, analysts caution that Bitcoin could face further declines, potentially retracing to as low as $73,000, a level they believe would serve as strong support.

As the memecoin sector grapples with dwindling investor interest and harsh market realities, its impact on the broader crypto landscape remains a pressing concern. Whether the market can recover from this downturn or if memecoins will fade into obscurity remains to be seen.

 

 

 

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