In a surprising development, Cardano-based meme coin SNEK saw an exponential price surge of up to 200%. However, the spike was only temporary and did not indicate a rise in the value of SNEK, instead, it was caused by a lack of liquidity in the decentralized exchange.
Sometimes, DEXes show rapid price fluctuations because of the nature of their liquidity mechanism. As seen with SNEK, the rise is short-term and should not be confused with a growing demand or a significant market shift.
Like other meme coins, SNEK has experienced a price downtrend, losing over 30% of its value from its all-time high. It is important to note that all meme coins in the market also experience similar levels of volatility as it is not only particular to SNEK.
Also, it is important for investors to note that the price fluctuation is not evidence of any rug pull scam associated with SNEK, rather it only shows the nature of meme coins. The prices of this category of coins are wildly influenced by investors’ sentiment hence making them a community-driven project.
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Although the recent decline might raise some questions, meme cons intrinsic volatility implies that price swings both up and down and are inevitable along the way. Before entering the meme coin market, prospective investors must recognize this volatility and perform due diligence.
Despite the price drop the SNEK community still remains watchful. Meme coins on the Cardano network are still gathering interest among investors as the total value locked (TVL), and general network activity continues to be rather high.
SNEK price today
According to data on CoinMarketCap, the price of SNEK, today is $0.0009307. It is down 21.24% in the last 24 hours. What’s more, SNEK is ranked #2663 on the CoinMarketCap chart. Finally, it has a max supply of 76,715,880,000 (76 billion).
Victor Swaezy
Victor Swaezy is a crypto-journalist with more than 3 years of experience in covering blockchain technology and digital currencies news. Known for his comprehensive reporting, Victor has contributed to leading industry publications such as Coinfomania and Crypto News Guru, providing market participants with the required knowledge to make informed decisions. When he is not working, he loves to watch movies and have a good time.