The viral internet sensation earlier this summer known as “Hawk Tuah” girl rode the wave of her popularity and decided to create a memecoin called $HAWK, but it has been met with controversies after a disastrous launch. Haliey Welch, the person behind the TikTok meme, decided to drop her memecoin entry to the cryptocurrency industry last Wednesday, December 4, and despite its skyrocketing availability, it crashed.
Other crypto content creators have accused Welch of insider trading behind this disastrous Hawk Tuah memecoin launch, but the founder and her team maintained their stance on honestly selling off the coin.
‘Hawk Tuah’ Girl’s New $HAWK Memecoin Rose and Crashed
Haliey Welch and her team launched a new memecoin amidst the significant popularity of cryptocurrency in the United States, and paired with the content creator-turned-crypto founder’s popularity, it saw a significant rise on its first day. According to DexScreener’s tracking of the memecoin HAWK, it quickly rose to its massive market capitalization high of $500 million upon launch.
However, it was a short-lived rise for the coin as it quickly crashed by as much as 95 percent to only a $25 million market cap on the afternoon of December 5, merely hours after it was made public.
The Solana blockchain-based memecoin’s crash led to many investors and traders facing huge losses after its ramping performance that was later met with a steep drop, raising allegations of insider trading, as per CoinTelegraph.
According to the report, many users shared their outrage on social media after the controversial launch, previously trading at its peak of $0.04916 on Wednesday, December 4, before its lowest at $0.002439.
Currently, the Hawk Tuah memecoin is now valued at $0.003361 over at DexScreener’s charts, featuring a market cap of $34.1 million.
Read Also:
Coinbase Integrates Apple Pay to Onramp Platform That Allow Users to Buy Bitcoin, Crypto
‘Pump and Dump’ Accusations on ‘Hawk Tuah’ Memecoin
It was reported that the Hawk Tuah memecoin allegedly engaged in a “pump and dump” scheme where investors would help raise its valuation in the market at one point to show its strong performance, and then later sell off their assets, a.k.a. dumping them. Furthermore, it was revealed that Welch and her team engaged in insider trading and sniping, but the HAWK founder quickly dispelled the rumors.
For now, it remains unknown if there will be legal implications for Hawk Tuah memecoin’s disastrous launch, but those who lost money are encouraged to consider taking legal action against them.
Memecoins and Their Rise in the Market
Over the past years, memecoins made their mark in the cryptocurrency industry by introducing a low-cost digital currency that can be owned by anyone, and it mainly centers on online hypes that help drive its rise. One of the most famous memecoins now is Dogecoin which is best known for rallying now thanks to its ties to Elon Musk, as well as Donald Trump’s renowned focus on crypto.
However, memecoins faced their fair share of criticisms online, especially as financial experts and prolific individuals previously campaigned against them, including the real-life ‘Wolf of Wall Street’ Jordan Belfort.
For now, the Hawk Tuah memecoin remains available in the market and has since revived its performance after its massive rise and crash, but like all other memecoins in the market, it is off to a slow and controversial start which may have Welch and her team face consequences.
Related Article:
Bitcoin Achieves Humongous $100,000 Milestone Before Year’s End, 140% Surge in 2024
