The Siren (SIREN) token dropped nearly 70% on Tuesday, erasing a sharp rally after onchain analysts raised concerns about heavily concentrated token ownership. According to data from CoinGecko, the token fell from a high of $2.56 to a low of $0.79 within the same day. At the time of reporting, SIREN was trading at around $1. The relationship between the concentration warnings and the price decline has not been definitively established.
The sell-off came after a significant run-up in the token’s value. SIREN, a BNB Chain token marketed as an AI analyst agent, had climbed to $2.81 on Monday, representing a 340% increase from its price of $0.63 on March 16. Over the prior month, the token had risen by nearly 1,300% from a starting price of $0.22, according to CoinGecko figures.
A pseudonymous onchain analyst known as EmberCN issued a warning to traders on Monday, suggesting the token’s surge was the result of a single party accumulating nearly all available spot supply in order to profit from derivative contracts. EmberCN cited an unverified custom entity created by blockchain intelligence firm Arkham Intelligence, which indicated that one entity may control as many as 644 million SIREN tokens. At the time of the warning, that amount was valued at approximately $1.8 billion and represented 88% of the total circulating supply of 728 million tokens.
On Tuesday, blockchain analytics company Bubblemaps published a visual breakdown of wallet clusters connected to the token. The firm estimated that a single entity controls roughly 50% of the circulating supply, valued at approximately $1 billion. Bubblemaps described the situation as a textbook example of supply concentration risk, warning that such conditions typically resolve in a sharp price decline.
Bubblemaps also provided historical context for the token’s ownership structure. According to the firm, SIREN was largely inactive following its launch in February 2025. A cluster of more than 200 wallets, the company said, was funded through decentralized exchange PancakeSwap and acquired the token in two separate batches before distributing holdings across 47 wallets. “This only ends one way,” Bubblemaps wrote, suggesting a significant sell-off was a likely outcome given the degree of supply control.
The episode underscores broader risks associated with low-liquidity tokens where a small number of holders can exert outsized influence over price movements. Thin liquidity can amplify both upward and downward swings, making such assets particularly volatile. The SIREN situation drew attention to how quickly sentiment can shift when concentration data becomes publicly available. Analysts noted that the speed of the decline reflected how rapidly traders responded to the warnings.
Originally reported by CoinTelegraph.
