Crypto’s riskiest tokens are crashing on a scale that stands out even by the industry’s own volatile standards, abandoned by retail speculators saddled with humiliating losses and a growing sense the game is rigged. Cryptocurrencies beyond Bitcoin have been hit hardest in the market downturn that kicked off early October. A MarketVector index tracking 50 mid- and micro-cap tokens has fallen nearly 70% this year, hitting its weakest level since early 2020. Altcoins have now shed $200 billion on paper since the market peaked.
The retail tide that once lifted everything from Trump-branded coins to dog-theme tokens is no more.
“For years, many tokens appreciated simply because of market cycles rather than real progress – and that era is ending,” said Shuyao Kong, who is building a new blockchain platform called Megaeth. “Today it’s influenced by cypherpunks, traders, Wall Street institutions, and even politics. No single narrative moves the market anymore, and the rise of traditional valuation frameworks is unsettling for some. Daily volumes for small- and mid-cap crypto derivatives on Hyperliquid — an altcoin trading hub specializing in perpetual futures — have thinned sharply since October’s crash.
The crypto world is in turmoil, and the Trump family’s altcoin adventures are no exception. After raking in billions from MAGA supporters who thought they’d strike it rich, Trump’s World Liberty Financial (WLFI) token has tanked over 50% from its peak. Now, as those billions vanish into thin air and altcoins bleed value, the Trump administration is scrambling. In a last-ditch move, they’ve nudged the SEC to fast-track more Bitcoin IPO approvals—an act of sheer desperation to TRY and save Trump’s multi-billion-dollar crypto gamble. After all, Trump Media and the Trump brand cashed in big time selling these coins to unwitting investors, and now the house of cards is tumbling down. The best is yet to come.