A cryptocurrency trader has joined the long list of traders who lost a significant amount of money trading memecoins.
The trader in question lost a whopping $450,000 trading on a newly created memecoin in about 40 minutes.
The memecoin in question here is a newly created ANT by Claude (ANT) meme coin and the transaction involving Solana (SOL) was recorded on the Radium automated market maker (AMM) platform, specifically on the ANT/SOL trading pair.
During the trade, the trader spent 3,396 SOL, roughly $587,000, to acquire 14.7 million ANT tokens.
However, 40 minutes into the trade, the same trader offloaded the entire position for only 773 SOL, worth roughly $134,000. The transaction was picked up by the on-chain analysis platform Lookonchain on Thursday, October 24.
This rapid sell-off by the trader resulted in a total loss of 2,623 SOL, amounting to around $454,000.
The transaction is the latest episode on traders loving significant amounts to the volatile nature of memecoins.
ANT’s rise to fame amongst Investors
The ANT memecoin within a short time frame caught the attention of meme coin traders due to certain factors.
- The memecoin has a unique creation story and a perceived real-world utility, unlike other memecoins.
- The ANT token traces its origin to artificial intelligence, emerging as the first coin launched on Solana through Anthropic Ai’s latest Claude feature, which allows the generative AI technology to use the computer the way people do.
- The ANT token is not the only memecoin tied to artificial intelligence. Other Tokens like the SLOP token also saw increased interest, mainly stemming from the fact that the coin’s emergence was initiated by Namshub, an AI agent.
- The losses accrued by the trader come at a time when the ANT token has experienced sell-offs.
The core reason behind the downturn by ANT cannot be pinpointed although it can be deduced that the coin was caught up in the inherent volatility associated with meme coins.
As of press time, ANT is trading at $0.004688, with a market capitalization of almost $4.6 million. The market capitalization peaked at $25 million at one point before the significant drop.
What to Know
- The ANT memecoin was created on the Solana Blockchain using the Pump. Fun meme coin creator. The Solana blockchain is well noted for its Memecoins which have gone on to become household names in the crypto space.
- Pump. Fun makes it easy to create memecoins with just a few clicks. This resource has been heavily criticized due to the role it plays in the creation of scam memecoins by Pump and dump schemers in the industry.
- Memecoins are very volatile and are notorious for double-digit losses. Investors are advised to invest what they can only afford to lose.