An anonymous crypto investor turned a meager $3,000 investment into a whopping $9 million dollars in just 72 hours (3,000x return). And that lucky bet was put on Numogram (GNON), a Solana memecoin release from October 17, 2024, that has already taken the crypto world by storm.
The frothy profit stands as another example of how memecoins are a moderately speculative but high-reward gamble.
What is GNON Memecoin?
GNON is a Solana based memecoin, which has picked up some serious volume recently after one trader turned $3k into $9 million in just four days.
Nowadays, most memecoins like GNON, don’t really have a use case so they trade based on social media hype, community involvement and viral marketing. The token’s swift ascent illustrates the speculative nature of memecoins, where smart early backers could strike it rich but plenty will also get screwed out when this market inevitably crashes.
This follows a trend among other Solana memecoins, with projects seeing similar surges in price thanks to faster transactions and lower fees on the platform that make it attractive for trading such speculative tokens.
Similar to the majority of memecoins, GNON finds life in short-term momentum but not long-term value; it comes from widespread community involvement as well as online viral trends.
GNON’s Explosive Growth
It was no coincidence that GNON saw such a rally. The token has also spiked up by more than 230% in just a single day after being listed on the Moonshot platform—a recently popular trading platform for memecoins. According to GeckoTerminal data, GNON traded at $0.1505 as of October 20, after surging 233% in value against Solana (SOL) on October 19 alone.
Such a skyrocket is typical of the memecoin part, recently propelled mostly by off-exchange merchants and social intonation. Much like many of its predecessors, GNON’s rally was speculative and lacked any inherent use or notable development to justify long-term price growth.
Nonetheless, the token price explosion has drawn in numerous individuals in the market, most often those looking for faster profits within unpredictable memecoin ecosystem.
A Lifetime Trade: Turning $3,000 into $9,00,000
By the way, this massive price action wasn’t random — it was a golden opportunity for an opportunistic trader. On October 20, onchain intelligence firm Lookonchain posted about the trade, showing that the unknown investor made their $3,000 purchase for 56 million GNON tokens spread across three wallets. During the next three days, the trader liquidated part of these positions and pocketed $9 million in profit (3,000x ROI).
Such a trade is the stuff of legends within crypto — or at least the memecoin side of it, which has heard stories like this before. For example, a Pepe trader transformed $3,000 USD into $46 million in May when the frog memecoin experienced a month-long top. They are glimpses into the wild and crazy world of memecoin trading, a fickle mistress at best, promising unparalleled wealth at worst.
Power of Social Media Hype
Such explosive price action shows how speculative memecoins can be. This has been born out of social media hype alone as opposed to long-term speculation typically associated with mainstream cryptocurrencies, where things like development roadmaps and adoption drive prices over the long term.
Memecoins such as GNON tap into the enthusiasm and exuberance of communities and online discussion, with prices driven not by fundamentals or use cases but really on influencers or people discussing it.
Off-beat Nature of Memecoins
It is the uncontinued price movement that gives memecoins such as GNON their ability to attract sellers even though they do not have any fundamental value.
According to Hao Yang, head of financial products at the Bybit exchange, the memecoin phenomenon could be likened to a “punk” music movement—motivated by discontent over the existing order. He said that memecoins are a reflection of younger generations dissatisfaction with typical financial systems.
Creators printing tokens into existence and then funneling them to billion-dollar market caps are shining a light on both the insanity of fiat systems as well as speculation.
Despite the fact that GNON’s ascent to 3,000x fortunes has turned a few lucky investors into overnight millionaires, such a rally is not likely sustainable. Memecoins rarely have physical utility or development catalysts and are almost always limited to a social media-driven pump until they die down again.
So to an extent, GNON’s rise is similar to that of many other memecoins, albeit with increases and reductions that are quite intense.
Solana’s Role in the Memecoin Craze
The GNON rally has also brought attention to Solana and the blockchain it was built on. However, memecoins such as GNON have garnered strong attention in the market, with more analysts predicting price action for Solana as people shift back to seeking meme tokens. Some have even speculated on Solana (SOL) rising as high as $180 from the memecoin mania.
Still, just as with the memecoins themselves, this bullishness for Solanas price also has a speculative basis. Whether the Solana memecoin fad can last for any amount of time that produces lasting profits is left to be determined.
A Word of Caution: The Bubble Effect
The stories of traders making billions from memecoins are both buying and selling signals in themselves, right? The incredible run of GNON will not survive for very long. In classic memecoin fashion, however, its rise comes entirely from hype and speculation rather than any core development or utility. The GNON token could drop straight back down in price as many have before it without long-term catalysts to prop up demand and provide value retention.
However, GNON’s overnight success has sent ripples through the wider Solana ecosystem as some traders on the market expected memecoin demand to rise SOL price to $180. If it happens or not, it still remains to be seen, but for traders, the connection between memecoins and their home blockchains seems to be something to watch.
So as GNON steps up to the plate, the question becomes: is this memecoin going to be the next great success story chez le nez or just another coincidence before it pops? It REALLY is crypto money, because there are fortunes to be gained or lost within the space of a night.
