According to data from The Block, memecoins have been losing momentum since mid-November. The GMCI Index, which tracks their prices, showed a sharp rise from 274.5 points on November 1 to 523.5 points on November 15, but has since stabilized around 500.
Reasons for the Decline
Analysts attribute the waning interest in memecoins to market saturation. Min Jung, an analyst at Presto Research, stated that the memecoin market is overheated: rapid token listings caused price surges, but investors have grown fatigued, especially after scandals like Pump.fun. Recently, the project’s team had to disable streams on the platform due to numerous complaints about harmful content.
Experts note that memecoins are attempting to pivot to new niches, such as artificial intelligence, while investors are shifting to low-cap tokens in search of higher returns.
Rising Interest in DeFi Tokens
As memecoins lose appeal, the DeFi sector is showing strong growth. Over the past two weeks, the GMDEFI Index has risen by 35% — from 82.47 points on November 14 to 111.57.
