RAVE Coin price has lost about 95% of its value within one day, dropping from $26 to near $1. The sharp decline erased billions in market value as exchanges opened investigations into trading activity. Onchain data and public statements now shape the timeline behind the rapid rise and fall.
Why RAVE Coin Price Dropped 95%
Onchain investigator ZachXBT reported that a small group of wallets controlled about 90% of RAVE Coin supply. He published wallet addresses and called for Binance, Bitget, and Gate to investigate trading behavior. He also raised a bounty to $25,000 for verifiable information about the parties involved.
Source: X
He stated that transfers from these wallets to exchanges appeared before the price surge began. These movements raised questions about whether insiders influenced liquidity and price direction. Exchanges later confirmed they had started reviews after the public alerts.
ZachXBT said, “That ratio points to a manipulated and unsustainable valuation.” He referred to $6 billion lost compared to about $52 million in liquidations. This comparison suggested that price movement did not match typical market behavior.
Timeline Shows Rapid Rise, Denial, and Collapse
RAVE Coin climbed from about $0.25 to over $27 within nine days before the drop. The surge triggered about $44 million in liquidations, mostly affecting traders holding short positions. Prices then reversed sharply after public scrutiny increased.
Bitget acknowledged the issue first, followed by Binance and later Gate. Each exchange confirmed it had begun reviewing trading patterns tied to the token. These responses came within hours of the public call for action.
RaveDAO denied involvement in the price movement through a public statement. The team said, “We are not engaged in, nor responsible for, recent price action.” However, the statement did not address specific wallet activity raised earlier.
Project Response and Latest Developments
RaveDAO said it may sell unlocked tokens to fund operations and expansion efforts. It mentioned plans for hiring, marketing, and partnerships tied to its Web3 events platform. The team also discussed possible token lock mechanisms linked to performance.
The project added that it donates 20% of event-related profits to selected causes. It described its goal as connecting Web3 tools with live entertainment experiences. The statement emphasized long-term development over short-term price focus.
Despite the response, the price continued to fall after the statement was released. Market data showed the decline accelerated rather than stabilizing. Traders reacted as uncertainty around supply control and exchange flows remained unresolved.
At the time of reporting, RAVE Coin traded near $1 after reaching over $27 days earlier. Binance and Bitget continued their investigations into trading activity. No exchange has released final findings or enforcement actions yet.
Source: https://coinpaper.com/16385/rave-coin-crashed-95-in-a-day-what-really-happened-behind-the-scenes
