Despite analyses suggesting the meme coin supercycle has concluded, so-called "smart money" investors are still diving into meme coins, chasing high returns. The market mood has shifted dramatically, particularly following the launch of meme coins tied to former President Donald Trump.
According to cryptocurrency news outlet Cointelegraph on April 5 (local time), blockchain data platform Nansen reported that "smart money" investors—known for their high profitability—are actively entering the meme coin market for short-term gains.
Research analyst Nikolaj Sondergaard explained, "They boldly jump in when liquidity is high, then quickly exit after locking in profits."
A notable example came on March 30, when reports surfaced of an investor who turned a $2,000 investment into a $43 million profit with PEPE coin.
Although they didn’t sell at the peak, the investor still secured roughly $10 million in realized gains, reigniting interest in meme coins.
However, some market observers argue that the launch of the Trump meme coin (TRUMP) may have signaled the end of the meme coin supercycle. A Binance report highlighted that weekly metrics for Solana-based meme coin launchpad Pump.fun peaked during Trump’s inauguration week in mid-January, only to see a sharp decline by late March. Active wallet numbers dropped from 2.85 million to 1.44 million during that period.
Additionally, insider trading allegations surrounding subsequent high-profile tokens like Melania (MELANIA) and Libra (LIBRA) have reportedly undermined market confidence. This, in turn, appears to have dampened speculative demand for meme coins as a whole.
Analysts suggest that with macroeconomic risks—like shifts in global tariff policies—continuing to loom, the speculative fervor in the meme coin market has noticeably cooled.
