Consolidation continues in the cryptocurrency market. Leading crypto Bitcoin is trying to hold above $ 95 thousand. The altcoin market has a mixed outlook. In the middle of this mixed outlook in the market, a meme coin project launched a burning campaign. Despite this move, which should positively affect the token as it normally makes it more scarce, the meme coin price continued to decline.
BONK burned a lot of tokens, but…
As you follow on Kriptokoin.com, the crypto market is in a bearish mood. This negative atmosphere is also breaking the effect of important developments. Dog-themed meme coin Bonk entered the agenda with a token burning move that removed 1.69 trillion BONK tokens worth over $ 51 million from circulation. However, despite this move, it failed to emerge from a broader crypto collapse.
In late November, the team behind the Solana-based meme ecoin Bonk (BONK) proposed burning 1 trillion tokens under a scheme called ‘BURNmas’, which would burn 1,000 BONK for every X post with the hashtag #LetsBONK and 10,000 BONK per new follower on Instagram and TikTok, initially scheduled for 25 December. They eventually exceeded the target. Also, BonkDAO members voted in favour of an updated burn proposal to burn 1.69 trillion BONK. According to the latest data, this accounts for 1.85% of the 90.97 trillion BONK tokens in circulation out of 100 trillion.
Meme coin price is going backwards!
Token burning provides a more favourable supply and demand dynamic. Therefore, it is a common strategy to increase token prices. However, the token has so far failed to recreate the success it achieved on 13 November. BONK burned 100 billion BONK tokens in November. In the process, the meme coin price increased by 56%. Thus, BONK reached an all-time high market capitalisation of $4.38 billion a week later.
However, BONK did not achieve the same success in the burn event on 26 December. This token burn event came amid a broader market decline. As such, it saw a 7.2% drop with a market capitalisation of $2.3 billion. It is not clear what caused the sell-off. However, several Bonk enthusiasts have expressed disappointment towards the Bonk team for failing to realise Christmas Day as previously promised. X user ‘BestBets’ wrote to Bonk core participant ‘Nom’ hours before the burn event took place, ‘You guys didn’t keep your promise. Also, you didn’t communicate well. That’s why the price continues to fall. You will lose a lot of progress and coin holders by lying to the community,’ he said.
‘I’m losing my trust,’ added X user PootieCoin. Meanwhile, according to the latest market data, despite the price drop, BONK remains the fourth largest meme coin after Dogecoin, Shiba Inu and Pepe in the $ 105 billion market.
Follow us on Twitter, Facebook and Instagram, and join our Telegram and YouTube channel to stay up to date with breaking news !
