Pump.fun Meme Coins Are Driving FOMO Investments
Nearly 90% of users who traded the meme coin launched by Pump.fun either lost their investment or made less than $100 in profit. Despite these facts, only successful trades receive attention and generate FOMO.
Several speculative tokens created through Pump.fun have accumulated millions of dollars in market capitalization, but profits have been eaten up by less than 10% of investors.
FOMO is driving Pump.fun Meme Coin
Earlier today, a 13-year-old Created Earn tokens on Pump.fun while streaming. To his surprise, the coin quickly skyrocketed and he quickly liquidated all of his coins, making a $30,000 profit. However, as the story spread, the value of the tokens surged to nearly $4 million.
Stories like this are driving FOMO within the community, with traders plowing their investments into these speculative meme tokens that end up being pump and dump Tokens. data from dune Shows that less than 3% of traders have made more than $1,000 in profits this way Meme Coin.
In fact, on-chain analysts have noticed several transactions Pump music Memecoin traders suffered heavy losses due to speculative investment.
Back in October, a trader bought five different meme coins hours after prices surged. He ended up losing money on every coin because report Provided by Lookonchain.
Another crypto influencer “Flavius Daniel” Loss nearly $1 million with meme coins, according to his social media posts. However, the crypto community was skeptical of his statement.
“Greed started to creep in and I only used maximum leverage. Only $460 left… I figured it was time to get a job,” Daniel wrote on X (formerly Twitter)
Regardless, most Pump.fun meme coins bring zero profit to most traders. The platform itself still maintains considerable profitability. Pump.fun launched earlier this year and allows anyone to create a meme coin in minutes.
Speculative trading increases and becomes popular Solana Meme Coin Benefit the platform a lot. Recent reports indicate that Pump.fun is preparing to launch its own Native tokens and professional trading terminal.
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