BALD token’s 90% crash sparks ‘rug pull’ suspicions

The highly anticipated launch of BALD tokens on the Base blockchain, which occurred just over 24 hours ago, has undeniably generated immense excitement and attracted substantial capital investment.

However, the initial euphoria was short-lived, as the newly minted BALD tokens experienced a precipitous decline of up to 90% from their peak value on Monday, July 31. This sharp downturn was triggered by the token’s deployer, who reportedly removed millions of dollars worth of liquidity from the market, instigating a dramatic price plunge from 9 cents to 1 cent.

Despite the setback, there was a glimmer of hope for the beleaguered token, as prices saw a modest rebound to 4 cents at the time of writing, driven by a select group of traders who seized the opportunity to buy the dip.

Nevertheless, this drastic price movement has raised concerns among industry experts, who are now questioning whether this incident could be classified as a “rug pull” – a maneuver where liquidity is abruptly withdrawn to the detriment of token holders.

BALD token market cap

Notably, BALD tokens had briefly reached an impressive $50 million market capitalization on Sunday, gaining significant popularity within trading circles. Subsequently, the token’s market capitalization soared to an astonishing $85 million later that day, resulting in substantial profits for astute traders.

As we monitor the current situation, blockchain data indicates that the token’s deployer has been gradually injecting smaller batches of ether to provide liquidity support. Consequently, token prices have been exhibiting a steady rise. Nevertheless, anxiety-ridden holders continued to engage in mass selling of their tokens.

In summary, the launch of BALD tokens on the Base blockchain has been an eventful journey so far, marked by both exuberant highs and concerning lows. Traders and investors alike must remain vigilant and exercise caution, given the volatile nature of the cryptocurrency market and the potential risks associated with newly launched projects.

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.