Despite conducting a large token burn event, removing 1.69 trillion BONK tokens worth over 51 million dollars from circulation, the memecoin Bonk (BONK) still could not escape the overall downturn of the crypto market.

At the end of November, the development team behind Bonk, the memecoin built on the Solana platform, announced plans to burn 1 trillion BONK tokens through a program called "BURNmas." This program burns 1,000 BONK tokens for each post with the hashtag #LetsBONK and 10,000 BONK tokens for each new follower on Instagram and TikTok. BURNmas was initially scheduled for December 25.

Ultimately, the amount of tokens burned exceeded the original target, and at 17:40 UTC on December 26 (0:40 on December 27 Vietnam time), BonkDAO members voted through an updated proposal, proceeding to burn 1.69 trillion BONK tokens. This figure is equivalent to about 1.85% of the total 90.97 trillion BONK tokens in circulation, down from the previous 100 trillion.

The latest token burn did not yield the expected results.

Token burning is a popular strategy to reduce supply and boost the value of tokens by creating upward price pressure. However, despite this token burn event, Bonk still could not replicate the success of the 100 billion token burn on November 13, when the price of BONK rose by 56% and reached an all-time market cap high of 4.38 billion dollars a week later.

However, after the token burn event on December 26, the price of BONK dropped by 5%, with a market cap of 2.3 billion dollars, amidst a general market decline.

Although the main reason for the sell-off is unclear, some Bonk fans expressed disappointment that the development team did not fulfill their promise regarding the token burn event on Christmas. User X BestBets criticized the development team:

"The price continues to drop because you did not keep your promises and did not communicate well. The development progress of the project will be hindered and many holders will leave."

Another user, PootieCoin, also shared:

"I am gradually losing trust."

Despite the price drop, Bonk remains the fourth largest memecoin in the market, with a total market cap of 2.3 billion dollars. In a market that has grown to 105 billion dollars, BONK is only behind major memecoins like Dogecoin (DOGE), Shiba Inu (SHIB), and Pepe (PEPE).

Despite facing many challenges, Bonk remains one of the most closely watched memecoins and has the potential to recover if there is a change in market sentiment or a new strategy from the development team.