On October 27, the lead developer of the AI token Numogram (GNON), known by the pseudonym lumpenspace, sold his holdings worth $400,000, causing a 95% drop in its value. Analysts at Lookonchain highlighted this event.
The $GNON price has dropped over 95% from its peak!
Trader @0xENAS even admitted his investment failure in $GNON!
The largest $GNON holder also capitulated, selling 20M $GNON for 1,184 $SOL($209K) in a single transaction, which was worth over $3.3M at the peak!… pic.twitter.com/KcrlrKNtfw
— Lookonchain (@lookonchain) October 28, 2024
The sell-off followed a series of sales by major token holders. Notably, one whale swapped 20 million GNON for 1,184 SOL ($209,000) in a single transaction.
? UNUSUAL VOLUME DETECTED ?
? numogram ( $GNON ) — SOLANA
? Volume: 234K USD in 5 minutes, 22M USD in 24h
? Market Cap: 10M USD
? Contract: HeJUFDxfJSzYFUuHLxkMqCgytU31G6mjP4wKviwqpump
? Chart: https://t.co/ufYqAgNd0P
? DYOR pic.twitter.com/OdQwwtYnOJ— VolumeGuru (@VolumeGuruBot) October 27, 2024
At its launch on October 20, GNON’s price peaked at $0.17, but panic has since driven it down to $0.008. The liquidity of the GNON/SOL pair has shrunk to $846,000, according to DEXScreener.
The community speculates on various causes for the crash, ranging from a rug pull to developer concerns about price manipulation by holders.
Currently, the X-account of lumpenspace is blocking users who message him, and all his previous tweets are hidden.
Meanwhile, the main project account is promoting the presale of the AIPUMP token.
I’ve long said that aimeme tokens are created by humans, not by AI itself. I warned about this risk early on but received only insults in return.
AIPUMP will be the new narrative, where all tokens are automatically created by AI bots.
There are 9 days left until the end of the…
— $GNON (@numogramai) October 28, 2024
According to CoinGecko, GNON is currently trading at $0.007652.
Previously, Andreesen Horrowitz backed the AI bot Truth Terminal, which led to a significant rise in the meme coin GOAT.