There are several reasons behind the sudden 90%–98% price drop of the Mantra (OM) token Key Reasons Behind the #OM Token Crash
Major Changes in Tokenomics:
MANTRA recently doubled its token supply by minting an additional 888,888,888 $OM tokens, increasing the total supply to 1.78 billion.
They adopted an inflationary model without prior notice, creating uncertainty around the token's future value.
These changes triggered a negative reaction in the market, leading to massive selling pressure. (Source: Binance)
Large-Scale Token Sell-Offs and Rumors:
Rumors spread across social media that project team members sold off a large portion of their tokens, creating market panic.
However, the #MANTRA team denied these allegations, claiming the price crash was due to "unintentional liquidations." (Source: CryptoBriefing)
Market Uncertainty and Loss of Investor Confidence:
The rapid drop in price led to fear and panic among investors, causing a chain reaction of sell-offs.
The MANTRA team said they are monitoring the situation and will release more information soon.