Wen Burn, Whale Sell: Solana’s Meme Coin Plunges Despite Supply Reduction

• Wen’s price plummeted despite burning 27% of its supply. A large whale sell order further amplified the drop.
• Wen- a stress test for Jupiter’s upcoming JUP airdrop. The launch was marred by an accidental token misplacement.
• JUP airdrop scheduled for January 31st remains on track.

WEN, launched by Solana’s Jupiter, is being distributed to eligible users.

Solana’s meme coin, Wen, took a nosedive on Monday despite burning 27% of its total supply. The “sell the news” event saw the token plummet over 30% from its daily high.

The drop was further fueled by a large sell order from a whale investor, triggering panic and amplifying the downward spiral.

This anti-climactic outcome capped off a chaotic build-up to “Jupuary,” Jupiter’s month-long testing phase to its massive token airdrop. Wen, a meme coin airdropped through Jupiter, was essentially a stress test for the platform’s infrastructure.

Weremeow mentioned, Wen as a “fantastic test,” the launch wasn’t without hiccups. 100 airdropped tokens ended up stuck in an engineer’s account, who then mistakenly added them to a trading pool. Weremeow, while acknowledging the blunder, called it “incredible dumbness” rather than an ethical breach.

Despite the Wen debacle, Jupiter remains on track for its JUP airdrop on January 31st, scheduled to distribute 40% of its total token supply to its users. Whether JUP fares better than Wen remains to be seen, but one thing’s for sure: the crypto market is a rollercoaster ride, and even seemingly positive news can lead to unexpected plunges.

Solana’s Overall Network Activity Also on the Rise

In addition to the WEN-fueled surge in new addresses, Solana has also seen a significant increase in overall network activity in recent weeks.

Earlier this month, the network processed its highest transaction volumes since October 2022, and January is already on track to be the second-best month ever for new address signups, with over 10 million new addresses created so far.

This surge in activity is a positive sign for Solana, which has faced some challenges in recent months, including network outages and concerns about centralization.

The success of the WEN airdrop and the upcoming JUP distribution could help to attract new users and developers to the Solana ecosystem, further solidifying its position as a leading player in the blockchain space.