The trading price of the altcoin SNM suddenly rose by over 4,000% to $10.91 on Nov. 20, 5:30 a.m. (ET), while the coin’s 24-hour trade volume stood at just over $720 million. The altcoin’s abrupt price surge has fueled speculation that the altcoin is being targeted by a pump-and-dump group.
Binance Dominates the Altcoin’s Trade Volumes
SNM, an altcoin, which had only previously traded above one dollar on April 30, 2021, went up by more than 4,000% to $6.70 — a new all-time high — on Nov. 20, 5:30 a.m. (ET). According to coingecko.com data, in just under 24 hours SNM’s trade volumes had surged from just over $1.2 million on Nov. 19, at 04:02 a.m. to over $720 million by 8:00 p.m. (ET).
A dead shitcoin that had an ICO in 2017, SNM, suddenly surged nearly 20x on Binance tody. Its official website has not been updated for a long time. The coin is almost exclusively tradable on Binance, but Binance did not delist it. https://t.co/TSaEM36GLg
— Wu Blockchain (@WuBlockchain) November 20, 2022
Before altcoin’s latest price and traded volumes surge, SNM, which debuted with an initial coin offering (ICO) price of $0.16 in 2017, has only been sold above $0.50 on three occasions which are Aug.26 ($0.503), Sep. 12 ($0.707), and Sep. 12 ($0.517). The data also shows that traded volumes also spiked during the same periods.
Although the altcoin, which has a circulating supply of 44.4 million tokens, is listed on five exchange platforms, data shows that Binance accounted for more than 99% of SNM’s traded volumes on Nov. 20.
Pump and Dump Claims
On Twitter, some users speculated that the altcoin’s activity could indicate that a pump-and-dump scheme is underway. Chinese crypto journalist Collin Wu tweeted:
Not sure if it is a contra trading involving stolen coins or a lack of liquidity due to the withdrawal of market makers.
Another user, Andrew Sun, argued that the altcoin’s sudden price and traded volumes surge could be an indication that an identified group had chosen to use SNM for pump-and-dump purposes. Sun tweeted: “A pump and dump group has chosen it. They often find dead coins. Ones with low liquidity and without a perpetual contract that will let people/bot go short on it to do their pump and then dump.”
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Terence Zimwara is a Zimbabwe award-winning journalist, author and writer. He has written extensively about the economic troubles of some African countries as well as how digital currencies can provide Africans with an escape route.
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