# Translation

In previous cycles, high-market-cap meme tokens frequently emerged in the market, while the current stage shows a clear decline. Common explanations tend to focus on liquidity or market sentiment, but I'm more inclined to understand this phenomenon from the perspective of capital structure functionality.

A possible framework is: some high-market-cap memes are not merely the result of price speculation, but objectively serve the function of capital path reconstruction (washing) and repricing.

Through early concentrated rallies, liquidity creation, and multi-account chip migration, funds with complex sources are "market-expressed" through on-chain trading and price fluctuations, thereby completing a reinterpretation on the path.

This mechanism was viable in the past because it relied on two prerequisites:
1) Limited on-chain tracking capability, with address association and capital flows lacking transparency
2) Scarce narratives, allowing single tokens to absorb high-intensity liquidity pressure

However, these two conditions are now changing. Mature on-chain analysis tools make capital paths easier to trace; meanwhile, narrative oversupply fragments liquidity across multiple sectors, making it difficult for a single meme to support extremely high valuations and capital density.

Against this backdrop, the AI sector provides a structure with higher "absorption capacity":
Its valuation anchors are looser, expectation space is larger, and narratives are more extensible, giving it stronger absorption and revaluation capability from a capital perspective.

So in my view, the so-called "fewer big meme coins" isn't necessarily because the market has less money or fewer players.

Rather, it's more likely that some of the capital reorganization functions previously borne by meme coins are now being replaced by AI sector tokens with higher narrative density and stronger valuation elasticity.