The Gas Town token has plunged to a $1.1 million valuation just four days after peaking above $60 million.
Last week, the Gas Town (GAS) token briefly ignited an artificial intelligence (AI) token frenzy as traders flocked to Bags, a Solana-based token launchpad that touted yet another iteration of creator-linked coins.
GAS surged to a $60 million valuation on Jan. 15 after software engineer Steve Yegge, creator of the experimental Gas Town AI coding-agent orchestrator, published a viral Medium post endorsing the token.
Just four days later, Yegge penned another post in which he distanced himself from GAS, citing unsustainable expectations from the crypto community.
Predictably, this sent GAS tumbling, and the token currently trades at a valuation of just $1.1 million, down 98% from its all-time high.
“I must reiterate my sincere regrets to the CT/BAGS crowd, who so generously funded me to the tune of just shy of $300k last week. That money was hard to duck, and the funds are deeply appreciated. They will help Gas Town be a big success this year. But Gas Town itself needs my full attention,” Yegge wrote on Jan. 18.
Meanwhile, other Bags tokens aren’t faring much better.
Ralph Wiggum (RALPH) is down to a $12 million valuation after peaking at nearly $50 million on Jan. 16, and RedwoodJS has plunged to near zero after the developers said that they “do not endorse crypto.”
According to Jupiter’s launchpad tracker, Bags’ market share has fallen to 16% as of Jan. 18 after reaching as high as 42% on Jan. 15.