Solana

Altcoin

Sherpa

<ul>
 <li>GMX, once a leading perp DEX, has crashed over 90% from highs, now trading around $8-9 with low liquidity.</li>
 <li>New Solana-based perpetual DEXs face extreme competition, likely leading to market share erosion for many.</li>
 <li>Despite near-term volatility, Sherpa sees higher overall returns in #1 and #2 projects like Solana itself.</li>
</ul>
In the fast-evolving world of decentralized perpetual futures, history often repeats itself—and not always kindly. Prominent crypto trader Altcoin Sherpa (@AltcoinSherpa) recently issued a stark reminder to those aggressively farming yields on the surge of new perp DEXs, particularly on Solana and platforms like edgeX.x.com
Pointing to older projects like SoydX and GMX, Sherpa noted how former leaders had “decent market share before HyperLiquid.” GMX, the decentralized perpetual exchange that dominated on Arbitrum and Avalanche (and later expanded to Solana), serves as a prime example. Once hailed for its innovative liquidity model and high leverage trading, GMX has suffered a brutal decline, plummeting from all-time highs above $90 to current levels around $8.50-$9.ccn.com
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
 <blockquote class="twitter-tweet">
 those farming the 15 new perp dexes forget some of the history of these older ones. <a href="https://twitter.com/search?q=%24dydx&amp;src=ctag&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">$dydx</a> and <a href="https://twitter.com/search?q=%24GMX&amp;src=ctag&amp;ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">$GMX</a> were 2 former leaders that had decent market share before HyperLiquid. This space is extremely competitive and even though HL is going to stay #1, their overall market share is… <a href="https://t.co/UhX94xkpaY" rel="noopener noreferrer nofollow">pic.twitter.com/UhX94xkpaY</a>— Altcoin Sherpa (@AltcoinSherpa) <a href="https://twitter.com/AltcoinSherpa/status/1999848550465749269?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">December 13, 2025</a>
 </blockquote>
 </div>
</figure>
The perp DEX space is “extremely competitive,” Sherpa emphasized, predicting the #1 (likely HyperLiquid) and #2 will endure, but “even though #1 is going to stay #1, their overall market share is prob down from here.” This fragmentation could extend to many others, mirroring GMX’s fate: solid weakness with each new entrant diluting volumes.m.theblockbeats.info Comparison of perp DEX performance including GMX on Solana ecosystem.
Sherpa’s takeaway? Overall returns are “going to be solidly weaker” across the board, with too many players vying for limited liquidity. While short-term pumps from airdrop farming remain tempting, long-term sustainability favors established leaders. For context, Solana (SOL)—hosting much of this new activity—trades around $133, down from its 2025 peak near $295 but still a top performer.Traders should heed this history lesson: in DeFi, innovation is relentless, and yesterday’s darling can quickly become today’s cautionary tale. Focus on dominant protocols and manage risks accordingly.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
&lt;p&gt;The post <a href="https://coincryptonewz.com/altcoin-sherpa-warns-new-perp-dexs-risk-gmx-fate/" rel="noopener noreferrer nofollow">Altcoin Sherpa Warns New Perp DEXs Risk GMX Fate</a> first appeared on <a href="https://coincryptonewz.com" rel="noopener noreferrer nofollow">Coin Crypto Newz</a>.&lt;/p&gt;

Altcoin Sherpa Warns New Perp DEXs Risk GMX Fate

CoinCryptoNewz

Other articles published on Dec 13, 2025

Join our free newsletter for daily crypto updates!