In just eight hours, a skilled trader transformed $2,275 worth of Solana tokens into an impressive profit of $2.26 million. The trader, known as “sundayfunday.sol,” achieved a remarkable gain of over 993 times on their investment in 13 Solana tokens by investing in the newly-launched memecoin 1DOL. This information was reported in a post by Lookonchain on May 19.
Since the Bitcoin halving, memecoins like Dogwifhat (WIF) and Pepe (PEPE) have gained significant attention. Despite lacking any underlying utility, memecoins often reach valuations in the billions, resulting in substantial wealth for some investors.
The substantial gain made by sundayfunday.sol is not coincidental. The wallet is also the biggest participant in the pre-sale of the Book of Memes (BOME) token. The trader purchased over $72,000 worth of BOME tokens during the pre-sale, which reached a peak value of over $40 million.
Although the trader has taken profits on some of their holdings, they still remain the largest holder of BOME tokens, according to Lookonchain.
The 1DOL memecoin was launched on May 18 and quickly rose to a peak value of $0.018 the following day. However, it has since plummeted to its current value of $0.004. CoinMarketCap reports that 1DOL has experienced a decline of over 43% in the past 24 hours, highlighting the volatility of memecoin trading.
Despite not having a website and being banned on X account, the 1DOL token has generated significant interest. The trader’s profitable trade has led to allegations of insider trading and money laundering by crypto enthusiasts on social media platforms.
Some have also pointed out the low liquidity of the trading pool, which is currently valued at $291,000 worth of SOL tokens. This makes it nearly impossible for the trader to cash out all their profits without causing a further decline in the price of 1DOL.
CoinStats data reveals that over 99% of the trader’s holdings are in the Solana-based WIF memecoin. The wallet currently holds over $15.8 million worth of WIF, which reached a peak value of over $42 million. However, it has experienced a decline of over 75%, equivalent to $47 million, in the past month.
In a similar success story, another skilled trader turned $3,000 into $46 million by trading the Pepe memecoin. The resurgence of the GameStop saga contributed to the increase in Pepe’s price, resulting in a return of over 15,718 times on the initial investment.
The remarkable success of memecoins reflects the disillusionment of the younger generation with the current fiscal system, according to Hao Yang, the head of financial products at Bybit exchange, as reported by Cointelegraph.
This article was originally published in Hodler’s Digest and covers various topics, including the trader’s success, Ethereum gas overhaul, and a guilty verdict for a Tornado developer.