A recent Binance Research analysis reveals that 97% of meme coins experienced a significant drop in trading volume, showing their high volatility and vulnerability to market manipulation. Most meme coins, created during the 2023-2024 boom, have short lifespans, with trading volumes almost ceasing as investors seek short-term profits.
The simplicity and accessibility of meme coins led to their quick popularity, attracting investors and building communities faster than traditional altcoins. However, the rapid popularity of meme coins also led to “pump-and-dump” schemes, causing losses for late investors. While most meme coins have short lifespans, a few, like Dogecoin and Shiba Inu, have managed to build strong communities and create sustainable ecosystems.
These examples show that while the meme coin market is generally volatile and risky, some projects have moved beyond speculation, creating real value in the crypto industry.
