The $TROVE token has recently gone through a massive price slump. In this respect, $TROVE has witnessed a shocking 97% drop following its launch on the Solana blockchain. As per the data from CoinGecko, $TROVE has plunged by 97% from $20M, its pre-sale fully diluted valuation (FDV), to nearly $600K post-token generation event (TGE). Additionally, within the 24-hour trading, $TOVE’s price dipped to $0.335938, equaling $0.05433 $SOL.
$TROVE Dips on Solana Triggers Sustainability Concerns as Market Cap Falls from $20M to $600K
The on-chain data points out that, after launching on the Solana blockchain, $TROVE has undergone a huge 97% price decrease. In this respect, it is down to nearly $0.035938, accounting for 0.054433 $SOL. Thus, irrespective of the solid initial interest, the decentralized launch of the token has rapidly turned into a disaster.
Specifically, the $TROVE token fell from its pre-sale FDV of $20m to the post-token generation event (TGE) of almost $600K. Additionally, the market capitalization of the token is currently standing at $598.38K, while its liquidity is just $43.34K. This raises concerns over the token’s sustainability.
Event Indicates Risks of Early-Stage Blockchain Initiatives
At the same time, over the past twenty-four hours, the trading volume has also touched $2.33M, whereas the net purchase pressurehas turned negative at -$560.1K. This indicates hefty sell-offs amid 12.8K transfers recorded. Particularly, 6.17K sales overshadowed 6.63K purchases.
According to CoinGecko, $TROVE’s collapse ensures several valuable lessons highlighting the risk linked to early-stage projects in the blockchain sector. Hence, the high pre-sale valuations are not a guarantee of stability following a project’s entry to the open market. Keeping this in view, the should exercise due diligence that improves the chances of profitability before any crucial investment decision.