RAVE Rockets 10,000% Then Nukes 90% Within Hours While Team Tries To Explain

• RaveDao’s native token, RAVE, dropped more than 90% on Sunday after surging to all-time highs on Friday and Saturday.
• RaveDao clarified on X that it was “not engaged in, nor responsible for” recent price movements, responding to growing scrutiny around the token.
• The token fell to around $1.20 after trading above $25 at its peak, highlighting extreme volatility following the rapid run-up.

RAVE, the native token for RaveDAO, plunged over 90% on Sunday after hitting all-time highs on Friday and Saturday and surging more than 1,000% over the past week, marking a sharp reversal after a rapid multi-day rally.

RaveDAO addressed the volatility in a series of posts on Saturday, clarifying that the team was “not engaged in, nor responsible for” the recent price action. They said that the team was aware of the allegations and emphasized its focus on long-term development, adding that it remained committed to transparency.

The team also disclosed that it may liquidate portions of unlocked tokens when appropriate to fund operations, including hiring, marketing, and strategic initiatives. It noted that such actions were part of maintaining sustainable growth rather than short-term speculation.

According to a white paper updated by RaveDAO, roughly 23% of the token supply was unlocked at launch, with the remaining tokens subject to a 12-month cliff followed by a 36-month vesting schedule. Allocations include community incentives, ecosystem growth, team and early supporters, suggesting a gradual increase in circulating supply over time.

RAVE’s price was trading around $1.20, down by 95% over the past 24 hours, after climbing above $26 on Saturday. On Stocktwits, the retail sentiment around RAVE moved to ‘bullish’ from ‘extremely bullish’ while chatter around it stayed in the ‘extremely high’ levels during the past day.

Market Scrutiny Intensifies After Rapid Rally

The sharp reversal in RAVE’s price came after a period of intense speculative activity around the token. The token had surged more than 1,000% during the last week, drawing attention across crypto markets.

On-chain investigator ZachXBT had flagged potential signs of insider-driven activity during the rally, calling it a ‘pump and dump activity.’ He alleged that a significant portion of the token supply may have been controlled by insiders to manipulate the market and called for further investigation. On Sunday, ZachXBT made a detailed timeline and analysis of RAVE's sudden price drop. This raised concerns about possible market manipulation and a lack of supply.

He said that the token fell about 95% from $26 to $1 in 24 hours on April 18. This came after a quick rise that briefly put it in the top 15 by market cap. That morning, ZachXBT asked big exchanges like Binance, Bitget, and Gate to look into the price action. 

At first, he offered a $10,000 reward for information, but later raised it to $25,000. During the day, all three exchanges publicly acknowledged the request, but RaveDAO denied being involved. ZachXBT also said that he had tried to get in touch with Yemu Xu, the co-founder of RaveDAO, a few days before but had not heard back.

Along with RAVE, the on-chain sleuth pointed out other tokens with “highly questionable price action” like Iren (IREN) MYX Finance (MYX), ChainOpera AI (COAI), pippin (PIPPIN), River (RIVER).

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