Whale Accumulates Solana Meme Coin
A whale claiming to be a “Binance insider” has been found to heavily accumulate the Solana meme coin Dogwifhat (WIF).
Popularity of Solana Meme Coins
In late 2023, meme coins like BONK and Dogwifhat gained significant attention, with BONK even boosting sales of the Solana Saga smartphone.
Whale Spends $8.65 Million on WIF
The whale wallet spent $8.65 million to purchase 17.22 million WIF tokens, suggesting that WIF may be listed on Binance.
“The whale calls himself a ‘Binance insider’ and seems to want to tell everyone that $WIF will be listed on #Binance,” said Lookonchain.
BONK experienced a price surge of over 134% within 24 hours after being listed on Binance, adding $1 billion to its market capitalization.
However, another analytical platform, Scopescan, revealed that the same whale suffered a loss of $7.7 million due to slippage. The liquidity of WIF was only around $2.7 million at the time.
Risk of Trading Meme Coins
Trading meme coins carries significant risks due to their extreme volatility, liquidity issues, and the potential for developers to conduct exit scams.
Hot Take: Proceed with Caution When Trading Meme Coins
While meme coins can offer lucrative opportunities for traders, they also come with substantial risks. The recent accumulation of the Solana meme coin Dogwifhat (WIF) by a whale claiming to be a “Binance insider” highlights the potential for price manipulation and the uncertainty surrounding these assets. The low market capitalization of meme coins makes them particularly susceptible to extreme volatility and liquidity problems. It’s crucial to exercise caution when engaging in meme coin trading, as there is a real possibility of significant financial losses. Remember to conduct thorough research and consider the inherent risks before investing in meme coins.
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