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$OM is the $LUNA of this cycle.
$6B+ wiped out within 30 minutes.
But why did it happen?
It all started when a wallet believed to be connected to the
Mantra Chain team suddenly deposited 3.9 million $OM tokens on the exchange OKX. This got a lot of attention.
The OM team reportedly controls about 90% of the token's total supply. That means just a few people have most of the power over the token’s price.
That’s already a big red flag.
https://x.com/AltCryptoGems/status/1911518609244840066/analytics
Over the past year, there were already trust issues in the community.
Some of the concerns included:
- The team was allegedly using market makers to keep the price up artificially
- They quietly changed the token’s economics
- They kept delaying a promised community airdrop
People become on edge about this project and false promises..
So when that large token deposit hit OKX, people started to worry that a big sell-off was coming. And they were right. Selling pressure began shortly after.
But the situation got a lot worse because of something else: OTC (over-the-counter) deals. There were rumors that OM had made private deals with investors, offering tokens at huge discounts! Some at 50% off or even more.
So when the price dropped by 50%, all those OTC buyers were suddenly at a loss. And panic kicked in. Everyone wanted to exit before the price fell further.
This led to a chain reaction:More people sold. Stop-losses were triggered. Leverage positions started getting liquidated. The market basically collapsed. All of this happened within one hour. And the price dropped 90%.
This wasn’t just a price dip. It was a full-on meltdown. Over $5.5 billion in value vanished in no time. A lot of people got burned, including those who had no idea what was going on behind the scenes.
So what’s the takeaway?
Be careful with tokens where:
- A small group holds most of the supply
- The team isn't transparent
- Promises keep getting delayed
- The price seems too stable or too good to be true
- Always take the time to do your research before putting your money into anything.
It might save you from situations like this.
$6B+ wiped out within 30 minutes.
But why did it happen?
It all started when a wallet believed to be connected to the
Mantra Chain team suddenly deposited 3.9 million $OM tokens on the exchange OKX. This got a lot of attention.
The OM team reportedly controls about 90% of the token's total supply. That means just a few people have most of the power over the token’s price.
That’s already a big red flag.
https://x.com/AltCryptoGems/status/1911518609244840066/analytics
Over the past year, there were already trust issues in the community.
Some of the concerns included:
- The team was allegedly using market makers to keep the price up artificially
- They quietly changed the token’s economics
- They kept delaying a promised community airdrop
People become on edge about this project and false promises..
So when that large token deposit hit OKX, people started to worry that a big sell-off was coming. And they were right. Selling pressure began shortly after.
But the situation got a lot worse because of something else: OTC (over-the-counter) deals. There were rumors that OM had made private deals with investors, offering tokens at huge discounts! Some at 50% off or even more.
So when the price dropped by 50%, all those OTC buyers were suddenly at a loss. And panic kicked in. Everyone wanted to exit before the price fell further.
This led to a chain reaction:More people sold. Stop-losses were triggered. Leverage positions started getting liquidated. The market basically collapsed. All of this happened within one hour. And the price dropped 90%.
This wasn’t just a price dip. It was a full-on meltdown. Over $5.5 billion in value vanished in no time. A lot of people got burned, including those who had no idea what was going on behind the scenes.
So what’s the takeaway?
Be careful with tokens where:
- A small group holds most of the supply
- The team isn't transparent
- Promises keep getting delayed
- The price seems too stable or too good to be true
- Always take the time to do your research before putting your money into anything.
It might save you from situations like this.
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