Hawk Tuah Memecoin Plummets 90% Following Controversial Launch Backlash

 

Hawk Tuah Memecoin Plummets 90% Following Controversial Launch Backlash

The Hawk Tuah memecoin has experienced a dramatic 90% drop in value shortly after its launch, following widespread backlash from the crypto community. Critics have raised concerns over the project’s lack of transparency and the rapid pre-launch hype, which many believe contributed to the token's volatile performance.

Investors expressed frustration over unclear tokenomics and allegations of insider advantages during the initial distribution phase. Social media platforms were flooded with complaints, further fueling the decline in market confidence.

The team behind Hawk Tuah has yet to issue a formal statement addressing the controversy, leaving many questioning the project's future. This serves as another cautionary tale in the world of speculative memecoins, where risks often outweigh rewards

Hawk Tuah Memecoin Sparks Controversy Amid Allegations of Insider Activity and Rapid Price Crash

The launch of viral influencer Hailey Welch’s Hawk Tuah (HAWK) meme coin ignited outrage across social media, as the token experienced a brief surge before crashing dramatically. Allegations of insider wallets and sniper activity during the launch have fueled the backlash.

Welch denied any insider sales or activity by her team or affiliated entities. The token launched on Dec. 4 at 10:00 pm UTC, quickly reaching a peak market capitalization of $490 million. However, within three hours, its value plunged by 91%, trading at a market cap of $41.7 million, according to Dex Screener data.

Reports from Bubble maps and Dex Screener suggest that insider wallets and snipers—entities that rapidly purchase large quantities of tokens at launch—controlled 80%-90% of HAWK’s supply at the outset.

In a Dec. 5 post on X, Welch's official account stated that no team members or key opinion leaders were given free tokens, and the team had not sold any HAWK. Welch also noted that the token was launched on the decentralized liquidity protocol Meteor to mitigate sniping risks. Despite these assurances, skepticism among the crypto community remains high.