Deep Dive
1. Tokenomics & Supply Dynamics (Bearish Impact)
Overview: MM’s circulating supply stands at 7.8B tokens (26% of 30B max), with historical airdrops like the August 2025 Binance Alpha event distributing 24,000 MM per user. Post-listing, MM’s price surged 248% but has since dropped 95% from its August peak, likely due to sell-offs from airdrop recipients and gradual token unlocks.
What this means: Sustained sell pressure could persist if early holders exit positions, compounded by low liquidity (turnover ratio: 0.89). Token unlocks or new airdrops (Binance) might exacerbate downward momentum without fresh demand drivers.
2. AI-Driven Use Case Execution (Mixed Impact)
Overview: MOMOFUN combines meme culture with AI-powered DeFi tools, including cross-DEX trading via its Eliza framework. While AI agent adoption in DeFi is rising (e.g., $1.39B raised for AI-agent projects in 2025), MM’s real-world utility remains unproven.
What this means: Successful integration of AI for automated trading or liquidity management could attract users, but competition from established platforms like Azuro or Drift (Bitcoinist) limits upside unless MM demonstrates unique value.
3. Macro Sentiment & Altcoin Weakness (Bearish Impact)
Overview: Crypto markets are in “Fear” territory (index: 20), with Bitcoin dominance at 58.59% as of November 2025. Altcoins like MM struggle in risk-off environments, especially with MM’s 24h volume down 6.91% and 30-day price decline of 95.63%.
What this means: A shift to “Altcoin Season” (index currently 22/100) or improved risk appetite could lift MM, but prolonged Bitcoin dominance and low trading activity suggest limited near-term relief.
Conclusion
MOMOFUN’s future hinges on balancing token supply constraints with tangible AI utility amid hostile macro conditions. Watch for protocol updates reducing sell pressure (e.g., token burns) or partnerships validating its AI infrastructure. Can MM transition from a meme-driven airdrop play to a sustainable DeFi-AI hybrid, or will dilution and sentiment keep it suppressed?