# Memecoin DORAE's Price Falls 99%: Here's Why
According to Lookonchain, a leading blockchain data analytics platform, the price of the Solana memecoin DORAE has significantly declined. The platform's analysis revealed that a rug pull by the token developer caused the massive price decline, sparking widespread concerns among crypto enthusiasts.
## Suspected Rug Pull
After selling 2.5 million tokens, the Doraemon token (DORAE) lost more than 99% in minutes, earning 10,538 Solana (SOL), equal to around $1.45 million. Lookonchain argued that the wallet that dumped these massive amounts of DORAE tokens and took sufficient profits belonged to the coin's developer.
According to on-chain data, the wallet acquired 304 SOL from the Kucoin crypto exchange, which it utilized to buy the DORAE tokens before launching the large sell-off. Research by Immunefi claims that hacks and rug pull in 2024 alone caused losses of over $473 million.
## Memecoin's Crypto Market Dominance
After generating returns of 1,834% for their holders, meme coins have become the most profitable category among cryptocurrencies in the first half of this year. A detailed analysis by BitEye, CoinGecko and Wu Blockchain, this profit exceeds other crypto market sectors, especially decentralized physical infrastructure networks (DePINs), AI-driven cryptos and real-world asset tokenization (RWA).

By comparison, RWA tokens produced returns of 214%, DePIN initiatives generated a 59% increase, while artificial intelligence cryptocurrencies occupied the fourth position with a 72% return for investors.

Analysts believe the surging interest in Solana-built tokens is mostly responsible for the explosive climb of meme-themed cryptocurrencies in recent months. With 541,000 coins produced on the Solana blockchain in May alone, this ecosystem continues to record an exponential growth of new tokens.

Token launches by high-profile people like Andrew Tate, Lil Pump, and Iggy Azalea have further increased demand. However, several celebrity tokens are under investigation for alleged insider trading or pump-and-dump operations.

A recent celebrity token with an alleged pump-and-dump operation is music artist Jason Derulo's JASON, also built on the Solana blockchain. The meme coin's price dropped by over 70% less than seven hours after it debuted.

In his defense, the R&B musician claimed that celebrity coin promoter Sahil Arora conned him and was behind the token's price decline.
## Future Outlook and Market Trends
Meanwhile, current Coingecko data indicates that the meme coins' overall market capitalization has declined by 2.7% over the past 24 hours. However, the market cap of Solana-based meme coins is up 1% rise over this period, reflecting ongoing investor interest.

Moreover, coins in their initial coin offering (ICO) phases are also gaining popularity. Notable mentions include WienerAI (WAI), the Solana coin Sealana (SEAL), Pepe Unchained (PEPU), and PlayDoge (DOGE).

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