Solana Memecoins Continue Freefall of Over 70% After December Boom
Meme coins on the Solana blockchain have continued their rapid drop after a surge in December.
The Solana blockchain previously drew attention in December after bonk tokens experienced a rally of over 1000%.
SOL, Solana’s native token, even exceeded the market capitalization of other major cryptocurrencies like BNB, albeit briefly.
However, the hype seems to have died down in the past week. Bonk tokens have plummeted by over 70% from its December peak, and is currently trading at just $0.00001069 at time of writing, according to CoinMarketCap. The development is surprising considering Bonk’s resurgence led to the memecoin being listed on popular exchanges such as Binance and Coinbase.
Meanwhile, Dogwifhat, a Solana memecoin known for featuring a dog wearing a beanie, has dropped by almost 80%. The memecoin previously provided early holders with a return of over 10,000% during the December boom, but is now trading at $0.09279 at time of writing, according to CoinMarketCap.
Dogwifhat drew headlines in mid-December when it was reported that a trader turned $226,000 into over $1.6 million after buying over 19 million Dogwifhat tokens between December 13 and 15.
The trader bought the tokens at an average price of $0.01137, according to blockchain analytics firm Lookonchain. Three weeks ago, the tokens’ total value hovered at around $1.69 million, meaning the trader made about $1.47 million in profit within five days.
Lesser-known tokens on Solana are also experiencing rapid drops – cat-themed tokens Popcat and chipi have dropped by over 90% from their peak values.
The sharp downward correction will come as bad news for holders of Solana memecoins, and a relative shock considering the success they experienced in December.
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