"An" coin surges 37% in 24 hours to reach $50 million, Meme coin frenzy amid shallow liquidity

A Chinese Meme coin called “An” on the BSC chain surged 37% within 24 hours, with its market cap briefly surpassing $50 million. This number looks impressive, but behind it hides a significant risk signal: the liquidity pool supporting this market cap is only about $670,000.

The Truth Behind the Data

The core feature of this coin is that it uses a USD1 stablecoin as the trading pair, which is the first time on the BSC chain. According to GMGN monitoring, as of the latest report, “An”’s market cap has fallen back to $47.92 million. Although still high, this correction itself indicates a problem.

Key data comparison:

Liquidity Trap

This data combination reveals a clear issue: a severe imbalance between market cap and liquidity. A market cap of $47.92 million supported by only $670,000 in liquidity means any large sell-off could cause severe slippage. In other words, exiting fully might be more difficult than expected.

From a trading perspective, the 37% increase in such a shallow liquidity environment is more driven by sentiment than fundamentals. Once market sentiment reverses, the decline could be just as rapid.

Common Meme Coin Tactics

As a Meme coin, “An” itself lacks practical use cases and value support. The price of such tokens entirely depends on community hype, concept speculation, and market sentiment. BlockBeats explicitly reminds in the news that Meme coins are highly volatile and often lack real value or utility.

This means participants need to understand what they are doing: this is not investment, but emotional gambling. The high gains often come with high risks.

Points to Watch

The innovation of the USD1 stablecoin pool is interesting, but it does not change the essence of Meme coins. On the contrary, using stablecoins as trading pairs may attract more retail investors, further exacerbating price volatility.

From market phenomena, Meme coin popularity still exists. But investors should clearly recognize that high gains in shallow liquidity are often signals of risk, not opportunities.

Summary

The 37% increase of “An” is indeed eye-catching, but the fact that a $47.92 million market cap is supported by only $670,000 in liquidity deserves more attention. This is typical of Meme coins: high volatility, shallow liquidity, and emotion-driven. Market hype can push prices higher, but it can also reverse instantly. For participants, understanding the risks is more important than chasing gains.