The cryptocurrency market took a pointy hit within the first quarter of 2025, with whole market capitalization dropping by 18.6%. After peaking at $3.8 trillion in mid-January — simply earlier than Donald Trump’s inauguration — the market cooled off, closing the quarter at $2.8 trillion. Together with this, common every day buying and selling volumes additionally noticed a serious dip, falling 27.3% to $146 billion.
Whereas the market pulled again, Bitcoin strengthened its relative place, rising dominance to 59.1%. This occurred at the same time as BTC’s worth fell 11.8% for the quarter, from its January ATH close to $106k to shut March round $82.5k, suggesting altcoins bore the brunt.
One of many largest tales throughout this era was the surge and crash within the meme coin market. The launch of Donald Trump’s official meme coin and Melania’s shortly after set off a meme coin craze, with hundreds of tokens being created every day on the pump.enjoyable platform.
The platform hit a file of 72,000 new token deployments in a single day on the peak of this pattern.
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How Did the LIBRA Crash Affect Meme Sentiment & Pump.enjoyable?
The joy round political-themed meme cash pale shortly after Argentinian President Javier Milei promoted a token known as LIBRA. The coin’s worth crashed quickly after his tweet, with its market cap plunging from $4.6 billion to only $221 million in a number of hours following a developer rug pull. This incident shook investor confidence in new meme tokens.
Supply: CoinGecko
Although some thought Milei’s account was hacked, he confirmed the put up was actual. Later, he deleted it and claimed he didn’t know the main points of the challenge. Investigations have now been launched—each by the federal government and by the courts. Some are accusing Milei of breaking ethics legal guidelines, although there’s no proof he made cash from the challenge.
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Since then, exercise on pump.enjoyable has dropped drastically. The variety of new tokens deployed on the platform fell by 56.3% from its January peak, with solely 31,000 being created every day by the tip of March. Even the proportion of tokens that efficiently moved out of the platform’s early stage, referred to as ‘graduated’ tokens, dropped from 1.4% in January to only 0.7%.
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