Key Takeaways:
- FADE loses altitude hours after launch on Arbitrum.
- Arbiscan shows suspicious activity; it could be wash trading.
YEREVAN (CoinChapter.com) – The FADE token made a splash on April 20, pumping 170% right after launch. However, the meme coin started losing altitude at approximately 5:30 UTC and dropped 58% since, reaching $0.00000000004418 in the Asian-Pacific session on April 21.
Suspicious activity on FADE
Notably, the low time-frame chart above shows the decline was not smooth, which could suggest that several addresses dumped the coin within certain intervals.
Hence, the chart suggests a pump-and-dump scheme, where developers create a coin, pump it on social media, then, after the token trading volumes go up, dump their creation at a high price, causing the value to cascade down.
The project’s whitepaper is not available, and neither is the website. Moreover, arbiscan.io shows suspicious activity, with most transactions linked to one address, which suggests a possible wash trading. The latter is a form of market manipulation, where an entity simultaneously sells and buys the same financial instruments, creating a false impression of market activity.
Additionally, the coin price is different on various coin trackers. While the price on Dextools.io reached $0.00000000004418, CoinMarketCap showed the meme coin’s price at $0.000007413 and urged traders to “exercise caution.”
Also read: Frogs take over – F*ck Pepe coin FKPEPE soars 2,000%; PEPE scores a new listing.
Smells like despair
Scams are a part of the crypto community and exist alongside legit projects. One of the necessary skills in the sector is differentiating the two. However, the sudden rise in the meme, no-value projects like PEPE, and its nonsense successor, F*ck Pepe, show a heightened desperation among traders to get rich fast, catching the new big thing before it fizzles out.
Also read: Money Market Funds at Record High – Threat For Equities.
Some meme projects like Dogecoin and Shiba Inu have evolved into larger ecosystems. However, coins like FADE are mostly short-lived and surge due to inside trading.
