The cryptocurrency market has generally declined recently, with Bitcoin falling to around $61,000 at one point, and most mainstream assets also under pressure. Foreign media reports that, however, the token LAB has bucked the trend and strengthened during this correction, rising to a record high of $27.30 on June 2nd.
Nearly 10 times in one month
According to CoinGecko data, LAB has risen nearly 24% in the past 24 hours, nearly 300% in the past 7 days, and nearly 1000% in the past month. This performance has quickly attracted market attention amid a weakening broader market.
The article suggests that short-term capital chasing high-volatility assets may be one reason for LAB's rapid price surge. As most mainstream cryptocurrencies retreat, some traders may shift to smaller-cap tokens with larger gains, driving prices further upward.
On-chain surveys point to a high degree of concentration
However, concerns about the risks associated with LAB are also rising. Foreign media, citing previous disclosures from on-chain investigator ZachXBT, reported that LAB's token supply is highly concentrated, with internal addresses controlling over 95% of the supply.
According to the report, just 61 whale addresses control 99.83% of the project's market capitalization. If these addresses sell off their holdings in a concentrated manner, the price may fall rapidly, leading to market concerns that the price movement exhibits clear characteristics of a pump-and-dump scheme.
The founding team faces further scrutiny.
The article also mentions that LAB founders Vova Sadkov and Mark previously caused controversy with the project Eesee (ESE), and were accused by some investors of withdrawing from an old project. With LAB's recent surge, the market has begun to re-examine the team's past record.
Foreign media commentators believe that LAB's current surge is not merely a typical counter-trend rebound. The rapid price increase, extremely concentrated holdings, and the controversies surrounding the team's background have raised further questions about the token's sustainability.
Additional information:The original article is mainly based on CoinGecko market data and ZachXBT's past public investigations, and does not provide the project team's latest response to the relevant questions.
