Memecoin Collapse: Liquidity Exit Creates Market Crash



A high-profile memecoin project initially hit $500M market capitalization, then experienced severe liquidation. The outcome tells a cautionary tale: an 80% drawdown pushed the market cap below $100M in rapid succession.

On-chain analysis reveals approximately $3–3.5M was extracted from liquidity pools. This wasn't random market fluctuation—the pattern suggests coordinated withdrawal activity that destabilized the token's trading environment.

The incident highlights a recurring risk in memecoin ecosystems: concentrated liquidity exposure and sudden exits can trigger cascading losses for retail participants.
MEME10,57%
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ForkTonguevip
· 6h ago
Another Memecoin rug pull drama, from 500M to 100M, how ruthless must the heart be?
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SignatureVerifiervip
· 6h ago
ngl, $3-3.5m extracted in coordinated fashion... statistically improbable that's coincidence. technically speaking, this screams insufficient validation on their liquidity mechanisms. zero-day potential written all over it tbh. anyone actually auditing their smart contracts beforehand or just speedrunning to aping? smh
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SchrodingerPrivateKeyvip
· 6h ago
This classic move of big players running away again, smashing $3M to dump and directly trap retail investors to death.
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TokenomicsDetectivevip
· 6h ago
It's the old trick of liquidity rug again... and this time it's so obvious.
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