A trader has transformed $9,000 into $5 million in just one month by investing in LAUNCHCOIN.
Formerly known as PASTERNAK, LAUNCHCOIN has skyrocketed by over 348% in the past 24 hours, sending its market capitalization soaring past $230 million. But what’s behind the explosive rise of LAUNCHCOIN?
LAUNCHCOIN Skyrockets: Market Value Surpasses $230 Million
LAUNCHCOIN has become the center of attention as its value soared more than 348% in just 24 hours. With a market capitalization exceeding $230 million and a 24-hour trading volume of $126 million, LAUNCHCOIN is demonstrating strong momentum in the market.
The price chart reveals this coin’s almost vertical growth trajectory over the past seven days, reaching $0.241.
LAUNCHCOIN Price Chart. Source: GMGN
LAUNCHCOIN is the token associated with Ben Pasternak, the founder of Clout—a SocialFi platform built on Web3 technology. PASTERNAK was rebranded to Launch Coin on Believe (LAUNCHCOIN) after Clout upgraded its brand to Believe, aiming to align the token name and position the project in the market.
The combination of Web3 technology and the SocialFi model has created a unique appeal for LAUNCHCOIN, particularly amid the growing interest in Solana-based projects.
Traders and Whales Reap Massive Profits
The meteoric rise of LAUNCHCOIN has delivered enormous profits for early investors. According to a post on X by Lookonchain on May 14, a trader spent $9,075 to purchase 20.3 million LAUNCHCOIN tokens a month ago. That investment is worth $4.7 million now, representing a staggering 515x return.
Unrealized Profit of This Wallet Reaches $5 Million, 99.5% Allocated to LAUNCHCOIN. Source: GMGN
This trader isn’t the only one profiting. Other whales have also recorded impressive gains. A whale spent $91,000 to buy 20.31 million LAUNCHCOIN tokens a month ago, and their unrealized profit now exceeds $3.4 million.
Meanwhile, another whale invested $367,000 to acquire 17.66 million LAUNCHCOIN tokens three months ago when the price was nearly zero. That investment has now yielded an unrealized profit of over $2.3 million.
These figures highlight that LAUNCHCOIN is not just a price surge phenomenon but also a significant profit opportunity for early investors. However, such rapid growth raises questions about sustainability and potential risks, especially in a volatile market like cryptocurrency.
Hidden Risks
While LAUNCHCOIN has delivered massive profits, its rapid price surge comes with considerable risks. Historically, celebrity-backed coins have been highly volatile and susceptible to price manipulation through “pump-and-dump” schemes. The case of MIKAMI serves as a notable example.
LAUNCHCOIN Liquidity Pool. Source: GMGN
Data from GMGN reveals that LAUNCHCOIN’s liquidity remains low, with only $4.2 million in the liquidity pool, while its market capitalization has soared past $230 million. This discrepancy could make it challenging for investors to sell large tokens, leading to potential slippage risks.
“A #LAUNCHCOIN trader is living the crypto dream. In just one month he turned $9k into $4.7 million. But here is the catch… The token has only $1.8M liquidity; how can he cash out? This is why checking the liquidity of any token before making an investment is crucial.” an X user shared.
Furthermore, a 348% increase in 24 hours signals a strong pump, but it could also set the stage for a significant correction. Therefore, investors should conduct thorough research and evaluate the project’s transparency and liquidity before diving in. Investors should also learn appropriate investment strategies to optimize future profits.
