Memecoin Claims “Originality”, That's Why It Failed 95 Percent
Another case of insider trading is occurring in the Memecoin market.
The total value of the Memecoin market has risen to over $70 billion this year. Some memecoin developers have turned this trend in the market into an opportunity for their personal interests.
They started dumping
According to a post by the blockchain analysis platform Lookonchain, people with insider information about the Spike (SPIKE) memecoin started selling tokens "like crazy".
According to Solscan records, these names purchased large amounts of SPIKE tokens through several different wallets.
Later, in a short period of time, it sold 292.95 million SPIKE for a total of 7 thousand 56 Solana ($1.06 million). According to Solscan data, SPIKE token has a supply of 999.99 million. The amount of SPIKE sold corresponds to approximately 29.3% of the total supply.
The price crashed
The sale of such a large amount of tokens in a short time crashed the price of SPIKE. According to Lookonchain data, SPIKE lost 95% of its value.
According to the Spike team, Spike was Matt Furie's first documented drawing. Matt Furie is also the owner of the artwork now known as Pepe the Frog, which inspired the PEPE memecoin.
On the Spike site, “$PEPE has been following in $SPIKE's footsteps this whole time. It's time for the world to remember which is the original..." the message reads.