In just eight hours, a clever trader managed to turn $2,275 worth of Solana tokens into a staggering profit of $2.26 million. Their wallet, known as “sundayfunday.sol,” made an incredible 993x gain on their investment in the newly-launched memecoin 1DOL. This information was reported by Lookonchain on May 19.
Since the Bitcoin halving, memecoins like Dogwifhat (WIF) and Pepe (PEPE) have gained significant attention. Despite lacking any real utility, these memecoins often reach multibillion-dollar valuations, creating millionaires out of some investors.
The trader’s wallet, which achieved a 900x gain, is also the largest participant in the pre-sale of the Book of Memes (BOME) token. During the pre-sale, the trader bought over $72,000 worth of BOME tokens, which reached a peak value of over $40 million.
Although the trader has taken profits from some of their holdings, they still remain the largest holder of BOME tokens, according to Lookonchain.
The 1DOL memecoin was launched on May 18 and quickly reached a peak value of $0.018 the following day. However, it has since dropped to its current value of $0.004. CoinMarketCap reports that 1DOL has experienced a 43% decrease in the past 24 hours, highlighting the volatility of memecoin trading.
Despite lacking a website and having a banned X account, the 1DOL token has generated significant interest. The profitable trade has led some crypto enthusiasts to allege insider trading and money laundering on social platforms.
Others have pointed out that the trading pool for 1DOL has low liquidity, with only $291,000 worth of SOL tokens. This makes it difficult for the trader to cash out all their profits without further decreasing the price of 1DOL.
According to CoinStats data, over 99% of the trader’s holdings are in the Solana-based WIF memecoin. The wallet currently holds over $15.8 million worth of WIF, which reached a value of over $42 million at its peak. However, it has experienced a significant decline of $47 million, or 75%, over the past month.
In another impressive feat, a savvy Pepe trader managed to turn $3,000 into $46 million through memecoin trading. The resurgence of the GameStop saga contributed to the increase in Pepe’s price, allowing the trader to achieve a remarkable 15,718x return on their initial investment.
This wild success of memecoins reflects the disillusionment of a younger generation with the current fiscal system, as noted by Hao Yang, the head of financial products at Bybit exchange, in an interview with Cointelegraph.