The memecoin market cap has experienced a significant decline, dropping 65% to $35 billion as of December 19, 2025, from its peak of $100 billion a year ago. By Friday, the market cap saw a slight recovery to $36 billion. Trading volume in the memecoin sector also fell sharply, down 72% to $3.05 trillion, as retail investors increasingly moved towards less speculative assets. The decline in memecoin popularity follows a year where political narratives initially boosted interest in 2024, but subsequent price drops and insider activities dampened sentiment. Meanwhile, the NFT market cap reached a 2025 low of $250 million in December, marking a 72% decrease from its January high, with active NFT sellers dropping below 100,000 for the first time since April 2021.