Solana-Based AI Token Ava Plunges 96% Amid Insider Trading Allegations
Solana-based AI token Ava, known by its ticker symbol AVA, has experienced a significant decline in value, plummeting over 96% from its peak. This downturn comes after a recent on-chain analysis raised concerns about the token’s supply distribution at launch and potential coordination among insiders for early purchases. The analysis, conducted by blockchain analysis company Bubblemaps, has sparked questions about the fairness and transparency of the token’s launch.
The findings suggest that a group of wallets, funded shortly before the token’s launch, purchased large amounts of AVA as soon as it became available. These wallets, which showed no prior on-chain activity, were funded via centralized exchanges such as Binance and Bitget. According to Bubblemaps, this pattern of behavior indicates coordination rather than independent participation, a practice commonly referred to as “sniping” in crypto markets.
Wallet Clustering Points to AVA Token Sniping at Launch
AVA was launched on November 13, 2024, on Pump.fun, a Solana-based memecoin launch platform that promotes fair and decentralized token launches. The project attracted early attention as one of the first 3D AI agent tokens, backed by Holoworld AI, a portfolio company of Polychain Capital. By January 2025, AVA had reached a fully diluted valuation of approximately $300 million, driven by increasing interest in AI-themed crypto projects.
Bubblemaps’ analysis identified 23 wallets, including the provider, that were funded within tight time frames via centralized exchanges. The wallets received similar amounts of SOL and then used automated trading strategies to purchase AVA at launch. This behavior, according to the company, indicates coordination rather than independent participation.
AVA’s Market Reality Sets in as Token Sheds 96% from All-Time High
More than a year after launch, the impact is visible in the token’s market performance. According to data from CoinGecko, AVA is down more than 79% from its launch price and more than 96% from its all-time high of about $0.33, reached on January 15, 2025. The token is now trading near $0.01, erasing most of its initial gains.
Despite continued development by the team behind Holoworld AI, the project’s market value has declined sharply. Holoworld claims to have created more than 10,000 3D virtual characters, collaborated with over 25 IP and NFT brands, and attracted more than 1 million users. However, these developments have not prevented the decline in AVA’s market value.
For more information on the Solana AI token Ava and its recent price movements, visit https://cryptonews.com/news/solana-ai-token-ava-insider-dump/
