Core Insights - The cryptocurrency market in 2025 has seen a significant decline in the performance of new tokens, with approximately 85% trading below their initial valuations and a median drop of over 70% from launch prices [1][4]. Market Performance - The trend contrasts sharply with the 2021 bull cycle, where many tokens experienced price surges post-launch due to a strong altcoin market and high risk appetite [2]. - Tokens listed on major exchanges like Binance often faced immediate sell-offs, indicating that exchange listings have become a warning sign rather than a momentum indicator [3]. Contributing Factors - The altcoin market remained depressed for most of 2025 following the memecoin bubble burst in February, with only a brief rally in September [4]. - Bitcoin's continued outperformance left little room for speculative investments in new tokens, leading traders to prefer quick profits over long-term positions [4]. Project Challenges - Teams that anticipated tokens would help build ecosystems found themselves struggling with persistent selling pressure, as even well-capitalized projects faced difficulties [5]. - For instance, Plasma (XPL) dropped from $2.00 at launch to below $0.20, while Monad lost approximately 40% of its value since its token launch [5]. Ownership Dynamics - A significant issue was the distribution of tokens, where large exchange programs and airdrops created a market flooded with holders lacking a connection to the underlying product [6]. - This marked a shift from previous cycles, where tightly knit communities formed around token launches, to a scenario where exchanges held substantial portions of supply, leading to a focus on short-term trading rather than ecosystem engagement [7]. Trader Behavior - The change in ownership dynamics resulted in traders with different incentives, complicating projects' efforts to regain control over their narratives once the supply began circulating [8].

It really feels like CT is dyingMeme market drain, altcoin market slowly dyingI don't want to look at my portfolio 🙃THE HUNTER ✴️ (@TrueGemHunter):Is CT dead? What is going on? Anyone? ...

I used to know almost every coin in the market now a days the altcoin market is so diluted and over saturated I barely know anyAltcoin market has changed drastically over the years ...

I used to know almost every coin in the market now a days the altcoin market is so diluted and over saturated I barely know anyAltcoin market has changed drastically over the year ...