Research shows that crypto airdrops are often extremely profitable

There have been airdrops for a number of cryptocurrencies in recent years. Since cryptocurrencies are often worth something or could become so in the future, this topic is often very popular. According to research, this can be seen in the prices of the cryptocurrencies involved.

Selling crypto airdrops quickly has often been lucrative

In an airdrop, participants receive certain tokens because they meet certain conditions, which usually means that they register for the airdrop in question and own certain tokens. In many cases you can even trade the coins immediately after receiving them.

CoinGecko concludes in a research report that trading quickly after airdrops would often have been a wise decision. The crypto data provider examined the prices of the 50 largest airdrops between 2020 and 2024. It turns out that the prices of 23 of the 50 coins (46%) peaked within 14 days of the airdrop. These include the airdrops of the Ethereum Name Service (ENS) and the NFT trading platform and token Blur (BLUR).

7 of the 50 coins even peaked on the day of the airdrop itself. You can think of Internet Computer Protocol (ICP), Hash Flow (HFT) and also Jupiter (JUP). Its airdrop took place on January 31st and attracted a lot of attention. However, the price of the token was less fortunate as it immediately fell. Still, this is a relatively modest decline of around 50% depending on the trading platform.

Some crypto airdrops have been HODL-worthy

Therefore, it was better to quickly sell the tokens with an early peak rather than holding on to them for a longer period of time. This is consistent with research from 2022 that showed that traders who “flipped” their coins shortly after the airdrop fared much better than people who held onto them faithfully.

However, this does not apply to all coins examined. For example, it took 1.6 years for Optimism (OP) to peak. That was earlier this year, although the token still fell hugely in the days immediately following the airdrop. The memecoin Bonk (BONK) was much luckier, rising 28,000% in 51 weeks. The outliers also include the AI ​​coin The Graph (GRT), where the price was more than 1,800% higher 9 weeks later than at the time of the airdrop.

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