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The Sonic token Andre Kronye is in free fall, destroying nearly 1.3 billion dollars in market capitalization since its relaunch in January.

The price of Sonic (S) dropped to 0.3775 dollars on Sunday, down more than 61% from its peak this year. This crash brought its market capitalization down to 1.9 billion dollars, compared to 3.15 billion dollars in January.

The Sonic token fell as its ecosystem continues to slow down. Data shows that the market capitalization of stablecoins fell to 446 million dollars, compared to 597 million dollars at the beginning of this year. The decline in stablecoin supply on-chain signals that activity in the network is waning.

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Further data shows that the total value of Sonic locked in its decentralized finance has dropped from nearly 2 billion dollars in May to 1.53 billion dollars. Much of this weakness was caused by outflows from AAVE, Sio Finance, Pendle, and MEV Capital, which dumped over 10% of assets in the last 30 days.