Its introduction of a native token, $DOOD, on May 9, 2025, was well-publicized. That optimism soon soured as the new token plummeted over 99% in value. Token ATH! will analyze what went down, and most importantly, why it went down. We’ll dive into what this means for the future of Doodles and its community. Read on to learn what’s causing this significant decline. This post will cover the community and Doodles team reactions, as well as the future usefulness of $DOOD.
$DOOD Experiences Significant Decline Post-Launch
The launch of $DOOD made quite a splash, though the massive drawdown immediately after release had many wondering about the tokenomics at play. Its initial capitalization of $DOOD exceeded $100 million. Then it tanked about 40% on opening day and landed in the $60 million range. Naturally, the value of Doodles NFTs, which are inextricably linked to the ecosystem, suffered.
Overview of the Price Drop
$DOOD’s rough launch period can be explained by a combination of timing and factors. An important factor there too was the absence of a specific, crystal clear use case in the immediate for the token. The Doodles team promised to be transparent about their upcoming use cases. The real development and incorporation of these functions is uncertain. As a result, many investors soon started treating $DOOD as a speculative asset instead of a utility token. This view was an excuse for a sell-off.
The other big factor was their decision to use Solana as their launch blockchain. Although Solana has provided fast and cheap transactions, it has done so at the cost of network reliability and centralization. Many Doodles holders have worried that this move came from a place of insecurity and likely added to that bad blood.
Of note, this was probably compounded by massive selling pressure from the recipients of the airdrop. Most of the people who received an airdrop probably sold their tokens the moment they could to cash in their profits, adding more downward price pressure. Prior to the $DOOD airdrop, Doodles NFT sales volume increased 97% in the last 24 hours, totaling over $1.1 million. In terms of value, the total weekly volume was up 368% from last week, at $2.6 million. Looking at the spike in sales leading up to the airdrop, it’s clear that some investors were preparing for the event. They set themselves up to capitalize on it.
Market Reactions and Implications
The shocking drop in value for $DOOD sent shockwaves across the Doodles ecosystem. When the dust settled, the value of Doodles NFTs was down to 1.5 ETH from 3.5 ETH — a significant 60% loss. This decline serves as a reminder of just how inseparably attached the token and the NFT collection are. The perceived value of one greatly impacts the value of the other.
Upon launch, analysts expect $DOOD’s price to cool off into the $0.05-$0.10 range. This is a conservative projection based on the actual price action of other tokens after their TGE. If DOOD goes up to $0.20, its fully diluted valuation (FDV) might double to $2 billion. That influx may lure in more speculative capital. With ANIME’s $800 million FDV as a reference point, we can determine a reasonable starting price for $DOOD at around $0.08. Expert predictions for the future value of the token vary widely, from $0.05 to $0.12.
Total circulating supply of $DOOD will have a major impact on its market cap. It’s not high, but at least Figure C suggests it’s non-trivial—in the range of 20% to 30%. However, at $0.10 per token the fully diluted valuation (FDV) reaches over $1B.
Doodle Team Responds to $DOOD's Price Drop
Following the launch of $DOOD which flopped, the Doodles team went to work. They’re proactively engaging on community concerns and reestablishing their commitment to the project. Their response has been multifaceted, involving official statements, community engagement, and a renewed focus on delivering tangible utility for the token.
Official Statements from the Team
Doodles’ new team recognized the steep price drop and released a statement regarding their distaste over the original market performance. What they wanted everyone to understand though, was that the long-term vision for $DOOD goes much deeper than the immediate price action. They pointed to the token’s central importance within the Doodles ecosystem. It powers avatar customization, empowers governance, and unlocks access to gated content.
The team addressed criticism over their decision to pick Solana as the launch blockchain. They provided context for their decision making and detailed the progress they are making to support a stable and secure network. Finally, they left the community with the promise and reassurance that their team was committed to continuously monitoring the situation and making modifications as necessary.
Community Reactions and Support
Despite the initial disappointment, many members of the Doodles community have rallied behind the project, expressing their continued support and belief in the team's vision. They have been vocal and active in identifying use stands for $DOOD. They’ve served as a strong sounding board, delivering honest and constructive feedback to the team.
As you can understand, so many of us wrote this in critique and frustration. This is particularly important for those who suffered financial damage from the market crash. Opera community members, in turn, have criticized the American Repertory Theater’s team communication approach and have demanded more transparency. Along the way, the team has increased their transparency efforts. They’re conducting AMAs (Ask Me Anything) sessions and directly participating in dialogue on platforms like Twitter.
Future Vision for $DOOD
Though these early challenges have been discouraging, the Doodles team is still hopeful about the long-term potential of $DOOD. They have a defined purpose for the token as part of the Doodles ecosystem. Their technical team is continually building and rolling out new use cases to increase demand and increase the value.
Upcoming Projects and Developments
Perhaps the most notable initiative is $DOOD’s integration into DreamNet, Doodles’ growing metaverse hub. This integration will allow users to use $DOOD to purchase virtual land, customize their avatars, and participate in various in-world activities. The team is hopeful that DreamNet will present the most interesting use case for $DOOD. They’re hoping at the same time to attract new users to the Doodles ecosystem.
In addition to DreamNet, the team is exploring other potential use cases for $DOOD, including:
- Enhanced Avatar Customization: Holders can customize Doodles 2 avatars, allowing for deeper personalization and expression.
- Governance Participation: $DOOD holders can vote on community proposals, influencing the direction of the Doodles ecosystem.
- Exclusive Content Access: Unlocking premium content, providing additional value and engagement opportunities.
- Earning Rewards: Earning rewards for participation and contribution, incentivizing active involvement in the community.
- Cross-Chain Incentives: Gaining cross-chain incentives, expanding the utility and reach of the token across multiple blockchain networks.
Long-term Goals and Strategies
The Doodles team’s long-term vision is to have $DOOD be an integral part of a healthy and self-sustaining ecosystem. They plan to achieve this by:
- Focusing on Utility: Prioritizing the development of practical and engaging use cases for $DOOD.
- Community Engagement: Actively involving the community in the decision-making process.
- Strategic Partnerships: Collaborating with other projects and platforms to expand the reach and utility of $DOOD.
- Continuous Innovation: Continuously exploring new and innovative ways to enhance the Doodles ecosystem.
The $DOODUSDT perpetual futures contract will be launching on Binance Futures and Binance Alpha shortly. Traders on Binance Futures can benefit from this opportunity with leverage up to 50x! The token's launch on Solana enables a seamless experience across Doodles' interactive elements, including gaming, merch drops, and metaverse-ready avatars.
Exploring Related Tokens
Everyone, including those who plan to use it, are waiting to see if $DOOD will launch successfully. Simultaneously, other meme coins and tokens are attracting attention in the crypto space. Examining these can provide context and comparisons.
Overview of Hot Mom (HOTMOM)
Memecoins like HOTMOM have garnered attention and popularity, especially in some online communities. Similar to most of the other meme coins, its value is extremely dependent on social media and speculation. HOTMOM’s utility ends there, and its long-term prospects are uncertain. It does make a great case study on what a community-created narrative can do to shift market perception in the world of crypto.
Insights on Ikun (IKUN)
Ikun is one of the latest meme coins to surge in popularity and volatility. IKUN is usually viewed through the lens of TikTok-fueled aesthetics and online queer scene discourse. It is arguably more corrupting than Wall Street in that it provides huge and quick return of fortunes. It poses real dangers due to its speculative nature and fundamental lack of value.
Given the underwhelming debut performance of $DOOD, one can wonder how long such a gimmick can last. The token’s potential is enormous, but it’s limited to the Doodles ecosystem for now. Its success ultimately depends on how well the team stays true to their word and builds an active, passionate community. If DOOD can get past its early hurdles, then it stands to be an incredible boon. Should this happen, it would take it well beyond being just a memecoin. If it doesn’t live up to the hype, it may disappear like so many other promised tokens have done.
