After the BASE ecosystem altcoin BALD suddenly became popular last weekend, its value has almost returned to zero in the past two days and no one is discussing it.
After its launch on July 30, its market value quickly reached 100 million US dollars in less than 24 hours, and then fell by 90% in less than 24 hours, and is now almost zero.
Those who get on the left side may have the opportunity to make 100 times the profit, but most of them follow after fomo and end up being trapped or returning to zero.
Someone just exchanged 5ETH for BALD, and in less than 10 minutes, only 2ETH was left, a loss of more than 5,000 US dollars, a loss of 57%.
There is also an on-chain address that forcibly exchanged 1,600 ETH into BALD, and lost 3 million US dollars into 2,000 US dollars in less than 24 hours. It is really a loss of money based on actual strength.
How quickly it rises, how sharply it falls; those who do not lock in profits will see both their profits and principal returned to the market.
A few days ago, CurveFinance was hacked and faced liquidation risk. CRV also fell from 0.74 to a low of 0.48, a drop of more than 30%.
Although the founder has sold CRV to repay the loan and other institutions have joined forces to rescue the market, market confidence has been shaken again.
After all, Curve was attacked, which involves security issues of the underlying programming language. Although the price has stabilized temporarily, there is still a black swan risk in the future.
Large institutions may still sell off the large amount of CRV they bought at $0.4. After all, from $0.4 to $0.6, there is already a 30% return.
A player in the group saw CRV plummet and felt that the opportunity had come, so he opened a short order at 0.5. After CRV was rescued, it rebounded all the way to 0.62 US dollars. I don’t know if this group member held on later.
In a volatile market, once a contract opens in the wrong direction, the loss will be huge, or even zero.
There is an old player who entered the circle in 2014. He lamented the recent market risks and thought about where the blockchain is heading. Chuxiaolian also felt deeply touched.
A few days ago, BALD skyrocketed and returned to zero overnight. The project team withdrew 6,809 ETH in two days, equivalent to more than 12 million US dollars. So much market liquidity was swept away again!
Although there are continuous airdrop announcements from various projects, they are all small projects and not enough to cover the gas fees.
The seemingly thriving interactive market may just be a small number of people controlling hundreds or thousands of accounts for their own amusement. They interact and work every day, but I don’t know if they can earn hard-earned money.
Many interactive studios can no longer survive, and many have closed down. Assuming 1,000 accounts, each with a gas fee of $10 per day, that’s $300,000 invested per month, and it’s still unknown when there will be a return.
Various Ordinals, ETHS, and BRC20 are considered not innovations but regressions.
Although there were early Ordi players who spent $7 in gas to mint 1,000 Ordi, and now the price of a single Ordi is $6, with a profit of more than 800 times; there are also those who bought Ordi at $20 and now lost 70%.
Blockchain needs a new narrative, but many people working on projects now don’t have time to settle down and just want to cash out quickly.
Some of the big Vs I follow have entered vacation mode, some are paying attention to other tracks, and some have reduced the frequency of updates; not only do they have no confidence, but they also have no hot spots.
You will win over most people if you do less. If you do it frequently, you will find that it is a waste of money and your health.
Just like the friend mentioned above, he followed BALD with fomo and lost 60% in 10 minutes; the so-called earth dog, individuals will eventually be unable to beat the big funds, and if they are not sold, they are just numbers.
The market risks are huge and the risks in the second half of the year are unknown; in a bear market, keep your principal and wait for the next opportunity.
The above is just my personal opinion, not investment advice. I am Chu Xiaolian, and I am paying attention to the Metaverse and web3.