Linea price (LINEA), the highly anticipated token from ConsenSys’ zkEVM network, suffered a dramatic 93% price collapse within hours of the September 10 Linea airdrop coin debut.
As BanklessTimes previously reported, new crypto airdrops often follow a similar pattern: tokens surge on hype before insiders and early claimants dump holdings. Linea follows the same script, echoing the early trading paths of Arbitrum and World Liberty Finance (WLFI), both of which saw steep declines after initial spikes.
After peaking at $0.32, the LINEA price now trades near $0.024, according to CoinMarketCap data. The token’s market cap slid to $368 million, while 24-hour volume surged past $813 million, signaling frenzied turnover.
The volatility followed LINEA’s spot listing on OKX at 3 PM UTC, where early holders and pre-market buyers quickly exited positions. OKX’s auction-based launch briefly stabilized price discovery around $0.03, but sell pressure overwhelmed liquidity, driving the token to new lows by the early hours of September 11.
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Linea Airdrop Controversy
Much of the panic stems from the Linea airdrop rollout. The project unlocked 10% of its 72B supply (7.2B tokens) for early users, boosting circulating supply to 15.48B LINEA.
However, community members reported they couldn’t claim tokens at the Token Generation Event (TGE), while Binance users received theirs instantly.
“This is not just a glitch,” wrote trader rowdy.eth on X. “It’s how projects farm hype, extract attention, and then sideline the real community.”
Another onchain analyst, Zack, revealed the community airdrop contract was funded 50 minutes late, allowing Binance claimants to sell before retail users even accessed their tokens.
The perception of favoritism toward exchanges amplified backlash, with critics warning of “Web2-style token launches in Web3 clothing.”
Furthermore, Linea’s tokenomics also stoked anxiety. On September 7, the project announced a 1.6B LINEA liquidity rewards program, expanding its earlier 1.5B plan.
While this could deepen DeFi adoption through Aave, Euler, and other protocols, traders fear short-term inflationary pressure. Already, 21.5% of supply is circulating, a high ratio for a debut token.
Still, the fundamentals remain strong. Linea’s TVL has surged to $2.5 billion on DeFiLlama, up nearly 700% since April. Stablecoin supply has crossed $296 million, with Aave holding over $776 million in assets on the chain. Daily active addresses now average 48,500, and DEX volumes hit $215 million in 24h, showing healthy usage despite the selloff.
LINEA Price: What’s Next?
Traders are watching the $0.024 support level, which could determine whether the LINEA price stabilizes or risks another leg down.
Bulls argue the crash reflects “airdrop farming” and may clear out weak hands, leaving room for a rebound as fundamentals, TVL, and developer activity rise in the coming weeks.
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