MemeCore Collapse: M Token Plunged 76% in a Day Amid Suspicions of Manipulation
The memecoin market is once again shaken by a dramatic crash. The token MemeCore (M) lost 76% of its value in just 24 hours, plunging from $2,659 to an intraday low of $0.50. At the time of analysis, the asset is trading at $0.6858, only partially recovering its losses.
This collapse wiped out billions of dollars in market capitalization. The token's fully diluted valuation (FDV) dropped to $3.69 billion, while its market cap shrank from $3.5 billion to $903 million. For comparison, the broader cryptocurrency market fell by only 1.64% over the same period. The scale of M's losses is anomalous.
Anomalous Signals and Warnings from ZachXBT
Interestingly, long before the crash, on-chain analyst ZachXBT publicly pointed out warning signs surrounding MemeCore. In his Telegram channel, he reminded that, along with colleagues Mlm and Wazz, he had previously highlighted an abnormal concentration of tokens and misleading users to inflate metrics.
According to Arkham data, on the BNB Smart Chain (BSC), there have been no on-chain transactions of M exceeding $50,000 for over two weeks. Analytics from Dexscreener also show that the token's total on-chain liquidity does not exceed $100,000. Meanwhile, the asset is traded on the spot markets of Kraken and Bitget, and is included in perpetual contracts on Binance and Bybit.
ZachXBT raises a valid question: how did a token that, in his opinion, is clearly manipulated, get listed on major exchanges? He emphasizes that such incidents undermine the reputation of the entire industry and harm retail investors.
Expert opinion: The collapse of MemeCore is a classic example of a "pump and dump" scheme with elements of insider manipulation. The lack of on-chain activity and minimal liquidity on DEX, despite major centralized exchange listings, is a red flag for the entire ecosystem. Investors should be extremely cautious about projects where real trading activity does not match the market capitalization.