Cryptocurrencies

One smart trader converted $2,275 worth of Solana tokens into…

One smart trader turned $2,275 worth of Solana tokens into a profit of $2.26 million in just eight hours.

The memecoin trader’s wallet, known as “sundayfunday.sol,” made over 993x gains from investing 13 Solana tokens (SOL) in the newly launched memecoin 1DOL, according to a May 19 post by Lookonchain:

“8 hours ago, he spent $13 SOL ($2,275) to buy 242 million #1DOL, which is currently worth $2.26 million!”

Memecoins like Dogwifhat (WIF) and Pepe (PEPE) have been hogging the spotlight since the Bitcoin halving. Although they have no fundamental benefit, memcoins often reach billion-dollar valuations, making some investors millionaires.

The over 900x profit is no coincidence, as the wallet is also the largest participant in the Book of Memes (BOME) token pre-sale. The trader bought over $72,000 worth of BOME tokens in the pre-sale, which were worth over $40 million at its peak.

Despite taking profits on some of his holdings, the trader remains the largest holder of BOME, according to Lookonchain:

“He sold $530 billion of BOME for $38,305 ($7.66 million) and currently owns $894 billion of BOME ($10.5 million), still the largest individual holder of BOME.”

The 1DOL memecoin launched on May 18 and rose to a peak of $0.018 the next day, before falling to its current mark of $0.004. 1DOL has fallen more than 43% in the past 24 hours, demonstrating the volatility of memecoin trading, according to CoinMarketCap.

1DOL/SOL, all-time chart. Source: CoinMarketCap

The 1DOL token has generated a lot of interest despite the lack of a website and X account being banned. The lucrative trade prompted insider trading and money laundering allegations by cryptocurrency enthusiasts on social media platforms.

Others pointed to the low liquidity of the trading pool, which currently stands at $291,000 worth of SOL tokens, making it impossible for a trader to cash out all of his profits without lowering the price of 1DOL further.

Related: 10x Research says Bitcoin’s rise above $67.5K could lead to new highs

The Memecoin craze indicates the younger generation’s disillusionment with the financial system

More than 99% of smart traders’ holdings are in Solana-based WIF memecoin. The wallet holds more than $15.8 million in WIF, which was worth more than $42 million at its record high, according to CoinStats data.

At its peak on April 1, the portfolio was worth more than $172 million. However, it is currently down more than 75% or $47 million over the past month.

One Smart Trader Converted $2,275 Worth Of Solana Tokens Into...
“AcLH” wallet. Source: Queenstats

Last week, another smart Pepe trader turned $3,000 into $46 million trading memecoin. The GameStop saga has boosted Pepe’s price, and the trader has made a return of more than 15,718 times his initial investment.

The massive success of memecoins reflects a younger generation that is disillusioned with the current financial system, according to Hao Yang, head of financial products at ByBit exchange, who told Cointelegraph:

“The success of meme currencies, like punk rock, can be seen as a symptom of the disillusionment of young investors who have seen the opportunities available to their parents disappear.”

magazine: Trader turns $3K into $46M in PEPE, Ethereum Gas Fix, Tornado Developer Convicted: Hodler’s Digest, May 12-18

sh-hakam.com

I am HAKAM web developer. From here you will get a lot of valuable information for free and a call for updates to WordPress and Blogger so that your sites are accepted in Google AdSense and also proper mastery of SEO and the best for the easiest.

Leave a Reply

Your email address will not be published. Required fields are marked *