Holding a newly airdropped cryptocurrency token for longer than 14 days has, almost half the time, resulted in missing the chance to sell at its peak, according to recent statistics from bitcoin data aggregators.Interest in airdrops has significantly increased after 2020. The most popular method of obtaining free airdropped tokens is via taking part in promotional or pre-launch blockchain network activities.
According to reports on February 1st, a 17-year-old cryptocurrency investor stated that the Jupiter (JUP) airdrop, located in Solana, had brought him over $1 million in profits. In the previous four years, about half (46%) of the top 50 cryptocurrency token airdrops—which included well-known tokens like Ethereum Name Service, Blur, and LooksRare—have met their peak prices within two weeks of launching. According to the research, over the first two following their airdrop date, 23 out of the 50 largest airdrops (46%) recorded their peak token prices.
Heroes of Mavia (MAVIA), Anchor Protocol (ANC), and Manta Network (MANTA) are a few more airdropped tokens that reached their peak in the first two weeks.Only one airdropped token out of the top 50 in the last four years took longer than a year to reach its peak price, whilst some projects achieved their highest gains in a couple of days. It took optimism (OP) a full year and a half to reach its peak. After the airdrop, Wen (WEN) saw peak gains in three days and Sweat (SWEAT) reached its all-time high in two days.
On the other hand, large airdrop sell-offs soon after listing may cause a dramatic price reduction, which would lessen the token’s allure. According to reports on February 22, the Ethereum layer-2 network Starknet’s (STRK) token experienced a 60% decline as a result of airdrop farmers and Ethereum infrastructure company Nethermind disposing of millions of dollars’ worth of airdropped tokens.
Furthermore, those involved in an airdrop can perceive technical difficulties encountered throughout the claim procedure as an unstable network, which could prompt them to contemplate selling the token. There was a big sell-off in March 2023 as a result of 150% more Arbitrum (ARB) tokens moving to exchanges than entering wallets. Users had reported issues with the airdrop claim page crashing an hour after the claiming process began as a result of a substantial amount of requests.