The MEME battlefield under the U.S. election: Election concept MEME coins collectively extinguished, Harris-related tokens nearly zeroed out

Author: Frank, PANews

On November 6, the grand spectacle of the U.S. presidential election finally came to an end, with Donald Trump winning the election as he wished and set to become the 47th president of the United States. As expectations around the U.S. election shifted, the crypto world also placed its bets in different ways. In addition to Polymarket, MEME coins became another hot battleground.

However, unlike the celebratory atmosphere in Trump's camp, investors betting on Trump-related MEME coins might find it hard to smile, as the anticipated surge in these MEMEs did not materialize following Trump's successful election. Instead, they collectively fizzled out, with most experiencing significant declines. In contrast, tokens related to another candidate, Harris, plummeted by over 90%, with many nearly reaching zero.

New MEMEs Gained More Attention but Experienced Wild Fluctuations

According to Coindesk, on November 5, over 1,000 MEME coins related to the U.S. presidential election were issued on Solana within a 24-hour period.

PANews also observed while monitoring MEME coins on Solana that in the most recent 24 hours (November 6), 9 out of the top 20 coins by trading volume on the Solana chain were related to the U.S. election. Among them, the MEME coin coded EAGLE reached a trading volume of $42.4 million, becoming the most traded election-related token. In contrast, the previously popular Trump token TRUMP (MAGA) had a trading volume of only $23.7 million.

From the trading volume data, it appears that most of the popular tokens on election day were newly created MEMEs from recent days, while some larger market cap tokens that had been around longer did not perform well on election day. This is clearly not good news for those who had already bet on certain MEME coins, hoping to achieve substantial profits from Trump's victory.

In addition to the trading volume excitement, most Trump-related tokens did not achieve the soaring market performance that the public expected. Most newly created tokens performed strongly before noon on November 6, but as the election results became more certain, these tokens began to plummet sharply, with many popular coins dropping over 90%. For example, the token named magacycle was created on the morning of November 6 and was rapidly increasing until around 10:30 AM, after which its price began to fall quickly. By 4 PM on November 6, it had dropped 91% from its peak. Other newly created tokens like $EAGLE and $BSDNT also fell by over 90%.

Established MEMEs Did Not Experience the Expected Rise

On the other hand, older Trump-related MEMEs did not see the anticipated rise either. $tremp2 increased by about 30% in two days, while $DMAGA (Dark MAGA) experienced a rollercoaster, rising about 110% in the morning but then dropping around 70% by 5 PM on November 6, bringing its price back to pre-increase levels. The MAGA token followed a similar pattern, rising 44% before falling back to its original position. Over the long term, MAGA is still down 82% from its historical high of $17, needing to increase over five times to return to its previous peak. None of this occurred when Trump won the election.

Compared to Trump supporters, investors betting on Harris may have fared even worse. After all, Trump-related tokens still have the potential for recovery with changing circumstances. However, Harris-related tokens clearly faced market abandonment. The KAMA (on the Solana chain) token maintained a market cap of over $20 million around 2 PM, but by around 5 PM, its market cap had dwindled to just $1 million, evaporating 95% of its value. Other originally higher market cap Harris tokens like $HARRIS, whether on the Solana or Ethereum chains, experienced significant price drops, with current token market caps only in the hundreds of thousands.

Good News Turns to Bad?

As for why this phenomenon occurred, there is currently no data to explain the reasons. However, PANews can analyze the collective plunge of U.S. election-related MEME coins from the following perspectives.

1. Good news fully priced in leads to bad news. This seems to be a law in the financial investment field that is difficult to decipher. Historically, every major positive expectation in the market has often been followed by a significant drop when it materializes. For instance, Bitcoin's ETF launch also saw a substantial correction initially.

2. Large funds tend to be more cautious during times of market uncertainty. During PANews' Twitter Space event on the night of November 4, titled "Election Day Approaches, What Will Happen in the Crypto World Next?", many institutional representatives indicated that the current market uncertainty is high, and large funds often choose to wait and see, deploying capital based on the market environment after everything settles. Clearly, on election day, the MEME market was dominated more by emotionally driven retail behavior.

3. The biggest beneficiaries of the U.S. election may be mainstream crypto assets like Bitcoin. On November 6, mainstream crypto assets like Bitcoin saw significant increases, with Bitcoin's price breaking historical highs and reaching $75,000. This indicates that a large amount of capital seems to have flowed into mainstream crypto assets.

4. The excessive issuance of new MEMEs diluted market attention. On the day before the election, over 1,000 related MEMEs were issued on Solana, and many new MEMEs were issued on election day as well. The large number of new tokens inevitably spread the election-related funds across various projects, preventing any single project from attracting all the attention.

5. Severe homogenized competition and lack of genuine narrative capability. Looking at the MEMEs related to the U.S. election, most were randomly issued tokens through Pump.fun, with few having substantial connections to the election. Thus, the thematic MEMEs surrounding the U.S. election ultimately resembled a short-term PVP scenario akin to gambling.

In summary, with the conclusion of the U.S. election, the related thematic MEME hype seems to be coming to an end. For MEME investors who experienced significant ups and downs, Trump's ascension did not bring the expected benefits. In the future, as Trump officially takes office, whether his previous declarations can be realized remains to be seen, and the entire crypto community may also experience similar disparities.