SatoshiVM (SAVM) is making waves in the crypto market owing to its massive gains. The SAVM crypto is a new entrant in the market and has gained nearly 20% since its launch on Friday, January 19, 2024. In addition, the SAVM price spiked over 17% in today’s trading session.

On the other hand, it has been reported that the SatoshiVM team has sold over $3 million worth of SAVM recently. This has ignited concerns of it being a pump-and-dump strategy by the developers of SAVM. Moreover, the recent pump in the crypto’s value supports the assertion.

SatoshiVM team initiates major SAVM sales

According to a post on X by LookOnChain, an on-chain data tracking platform, a wallet related to the SatoshiVM team has been selling SAVM tokens. The post noted that a wallet address, 0xfdac, recently received 420,000 SAVM tokens worth $4.7 million from the SatoshiVM team.

Thereafter, the wallet transferred 189,700 SAVM, valued at $2.12 million, to 24 new wallets. In addition, the wallet owner sold 124,739 SAVM for 504 Ethereum (ETH) tokens worth $1.24 million, according to Etherscan data. The total of these whale transfers comes to $3.36 million.

The move has spurred concerns about a possible pump-and-dump scenario. Moreover, since a similar strategy is used during a rug pull scam, the latest development is alarming. In a rug pull scam, developers create hype around the crypto they launched, which is the case with SAVM, considering the recent update.

Apparently, the team is hyping the SAVM price up by encouraging investors to buy it. This could eventually pave the way for the developers to make a quiet exit with significant profits in case of a rug pull. However, no solid evidence has been acquired for the same.

Also Read: SAVM Price: SatoshiVM Shifts Over 1 Mln SAVM To Influencer Addresses

Why do analysts feel SAVM could be a scam?

Popular analysts have been warning against the SatoshiVM project. WEB3 Market Insight, a crypto-focused account on X, quoted the LookOnChain post and stated, “SAVM Pump and Dump continues.” In addition, BareNakedCrypto, a crypto analyst on X, labeled the SatoshiVM venture as a “scam.” The analyst also questioned the influencers related to SAVM regarding the LookOnChain update as they had been “protecting” themselves for the past few days.

Daniel, another analyst, responded to BareNakedCrypto’s tweet and stated that a legitimate Bitcoin Layer 2 project could attract funding from popular venture capitalists like Bitfinity and wouldn’t have to depend on influencers. He wrote, “A legit bitcoin layer 2 with real technology could easily raise money with legit VCs like Bitfinity.”

Earlier, over 1.2 million SAVM tokens were transferred to the wallets of influencers on Saturday, January 20. The transfer, worth $10.5 million, was directed toward 248 wallet addresses. In addition, the move was startling as the massive shift accounted for 11.5% of SAVM’s total supply.

Also Read: Donald Trump Wants to Protect America From CBDC Threat, Receives Support

SAVM Price Rallies 17%

The SAVM crypto price soared over 17% on Monday, January 22, and surpassed the $11 mark. However, it later extended lower than that level but maintained substantial gains. At press time, SAVM’s value was $10.96 on Monday, indicating an increase of 7.66%.

Whilst, the digital currency’s market cap stood at $76.96 billion. Moreover, the 24-hour trade for SAVM increased by 3.48% to $37.45 million. Earlier, the coin surged to an all-time high of $14.10 on the day of launch. Subsequently, it attained an all-time low of $7.26 the next day, which supports the claim that it’s harnessing a pump-and-dump strategy.

Also Read: Coinbase CLO Fires Back At US GAO’s Concerns On Crypto Evasion Of Sanctions

The post SatoshiVM Team-Linked Wallet Sells $3 Mln SAVM, A Pump & Dump Case? appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am