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A trader turned $9,000 into $5 million in one month by investing early in LAUNCHCOIN, securing a 515x return amid soaring prices.
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LAUNCHCOIN surged 348% in 24 hours, reaching a $230 million market cap, driven by rebranding and Web3 SocialFi hype tied to Clout.
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Despite gains, low liquidity and rapid growth raise pump-and-dump concerns, echoing past risks with celebrity-linked tokens.
This article explores LAUNCHCOIN’s explosive growth, highlighting investor gains and potential risks, emphasizing the need for careful evaluation.
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 demonstrates 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 is the token associated with Ben Pasternak, the founder of Clout—a SocialFi platform built on Web3 technology. PASTERNAK rebranded to 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, 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.
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.
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.
Conclusion
In summary, LAUNCHCOIN’s unprecedented rise has presented extraordinary opportunities for profit, but the associated risks cannot be ignored. Investors should prioritize liquidity checks and market stability evaluations as key components in their investment strategy.
