MANTRA coin (OM) experienced a significant price drop on April 13, 2025. In a short time, its price plummeted over 90%, from around $6.30 to below $0.50. This drastic decline wiped out more than $5.5 billion from MANTRA's market capitalization, causing panic among traders and investors.

Causes of the Drop:

The MANTRA team via their X account (formerly Twitter) stated that this drop was caused by "reckless mass liquidation" by a large investor on a centralized exchange. MANTRA co-founder John Patrick Mullin also mentioned the same thing. However, many in the crypto community are skeptical of this explanation.

Concerns and Speculations:

Several concerns and speculations have arisen regarding this price drop, including:

* Market Manipulation: Allegations have emerged that internal teams or related parties conducted large-scale dumping of OM tokens suddenly. Some social media users even referred to this incident as a "rug pull."

* Questionable Tokenomics: Long-standing concerns regarding the tokenomics of OM, especially the very high fully diluted valuation compared to the low total value locked (TVL), have resurfaced.

* Suspicious Wallet Activity: Large amounts of OM token transfer activity detected ahead of the price drop.

* Lack of Transparency: Some parties criticize the lack of communication and details provided by the MANTRA team regarding this incident.

Impact and Prospects:

This extreme price drop certainly resulted in significant losses for OM coin holders and damaged the reputation of the MANTRA project. The future of this project is uncertain, and price recovery will heavily depend on the team's transparency, a thorough investigation into the causes of the drop, and concrete steps to rebuild community trust.

Conclusion:

The price drop of MANTRA coin is a dramatic event that raises many questions and concerns. Although the MANTRA team blames external liquidation, skepticism among the community is very high. This brief overview highlights the magnitude of the drop, the alleged causes, and the resulting impacts, as well as the need for clarity and action from the MANTRA team to address this crisis of trust.$OM