Solana Meme Coin White Whale plummets 60%, with the largest holder selling off $1.3 million triggering panic

On January 20, it was reported that the Meme coin White Whale (WHITEWHALE), issued on the Solana network, experienced a sharp fluctuation, with a maximum intraday drop of up to 60%. On-chain data shows that the project’s largest private holder sold off tokens worth approximately $1.3 million, directly triggering market panic selling pressure.

Data indicates that this sell-off quickly drained liquidity from the pool, causing the WHITEWHALE price to plummet significantly, with market capitalization evaporating in a short period. Subsequently, the price experienced a technical rebound. By the European morning, liquidity for the related trading pairs had recovered to about $900,000, but it remained significantly below previous levels.

Market analysis points out that this incident once again exposes the structural risks of small Meme coins. These tokens generally lack sufficient liquidity and market depth to absorb large sell orders, making them highly susceptible to manipulation by “whale” addresses. When core holders sell off en masse, prices often experience severe shocks in a short time.

On-chain tracking shows that the early buyer of White Whale, address 6kasXu, received a large number of tokens from the deployment address “CZFDnH,” which purchased about 45 million WHITEWHALE tokens after the project’s CTO entered. These two addresses collectively sold approximately $1.3 million worth of tokens in a short period, serving as the direct trigger for this round of decline.

In response to market skepticism, the White Whale deployer later issued a statement on X platform, explaining the sell-off as a “liquidity event” rather than a withdrawal of funds by the project team. The statement also confirmed that the project team conducted some buybacks during the sharp price decline to mitigate market impact.

The project team believes that this concentrated exit has actually altered the token distribution structure, significantly reducing the threat posed by a single large holder to the price, and the token supply is shifting toward a more dispersed group of holders.

As of Tuesday morning, WHITEWHALE has recovered part of its losses, with a trading price of about $0.040 and a market cap close to $40 million. Despite the volatility, its 24-hour trading volume remains around $12 million, indicating that short-term speculative activity remains highly active.

White Whale was issued approximately three months ago via the Pump.fun platform, with its theme originating from the active trader @TheWhiteWhaleV2 on X platform, who has a high profile in the crypto community. This recent crash also serves as a warning to Meme coin investors within the Solana ecosystem.