Shock! Two thirds of memecoins now ‘worthless’ says new research

According to a new analysis of 1,500 memecoin promotions, two-thirds are now worthless and another 10% have crashed over 90%. Not only that, despite cherry-picked testimonials and celebrations of outsized gains, researchers found that only 1% of these coins ever rally 10X after their initial endorsement.

This disappointing performance is particularly noteworthy given the otherwise bullish crypto market that has added over $1 trillion in market capitalization in the past 30 days.

The research from Coinwire corroborates analysis by Protos which revealed that 99.99% of the 1.7 million meme coins launched on Solana’s Pump Fun never sustained a market capitalization of even $1 million.

According to Coinwire’s analysis of 377 influencers with at least 10,000 followers on X, promoters with larger followings tended to achieve poorer results than those with smaller audiences. The more popular influencers convinced more people to view — and presumably buy — the worst cohort of a terrible class of investments.

However, the truth is that all promoters delivered dismal results that lay bare the reality behind dreamy advertisements about overnight success.

Read more: All bitcoin models destroyed: Stock-to-Flow, Power Law, Rainbow

Typically quiet losers on these schemes have voiced their complaints on social media.

Indeed, many have admitted to losing life savings and going into credit card debt through trading memecoins. Another admitted to losing $45,000 while others lost money buying coins based on recommendations from celebrities.

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