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Active Currencies 14427
Market Cap $2,638,150,826,250.50
Bitcoin Share 50.12%
24h Market Cap Change $-3.02

Is SNM’s 4000% surge evidence of another market pump and dump? Assessing…

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The price of the SNM altcoin, surged by 4,545% on 21 November. The alt was seen exchanging hands at $10.91 — its all-time high. The altcoin’s trading volume rose from $1.2 million to $720 million in the span of just one day.

Source: CoinMarketCap

This sudden rise in fortunes cannot be easily explained, given that this phenomenon was taking place amid a crypto market crash following FTX’s collapse. In related news, SNM had only previously traded above $1 on 30 April, 2021.

The market capitalization of SNM rose from ~10 million to more than $472 million within 24 hours. Its trading volume rose from $1.2 million to $720 million within the same time period, and above $0.50 on rare occasions. Data also suggested that over 99% of SNM’s trading volume of 20 November was transacted on Binance.

Source: CoinMarketCap

It’s a pump and dump for SNM?

SNM had been ranked at number 218 in terms of market cap. Besides, its official website hasn’t witnessed any updates since a very long time now.

The sudden surge in the fortunes of SNM amidst a crypto crash was being attributed to various ulterior motives.

Furthermore, Chinese crypto journalist Colin Wu called it a “dead shitcoin,” while mentioning that the coin was almost exclusively tradable on Binance.

Mr Peanutbutter, a Twitter user, responded, “Pump & Dump group making the most of those scamcoins from BSC that got a free pass to Binance back in the days.” He added that such items should be “cleaned for a Binance regulatory compliance.”

This could also be due to a lack of liquidity caused by the withdrawal of market makers. It will allow a trader to significantly increase the price of a token with far less capital than is required for price movements of tokens with greater liquidity.

At press time Bitcoin [BTC] was down by 25% and was trading at $16,086.99. Ethereum [ETH] was trading at $1,119.35, after plummeting by 33%.

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Saman Waris works as a News Editor at AMBCrypto. She has always been fascinated by how the tides of finance and technology shape communities across demographics. Cryptocurrencies are of particular interest to Saman, with much of her writing centered around understanding how ideas like Momentum and Greater Fool theories apply to altcoins, specifically, memecoins. A graduate in history, Saman worked the sports beat before diving into crypto. Prior to joining AMBCrypto 2 years ago, Saman was a News Editor at Sportskeeda. This was preceded by her stint as Editor-in-Chief at EssentiallySports.
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