Chillguy, a formerly popular crypto meme token, is seeing severe selling pressure “as long-term holders begin to scale out of their positions,” as a June 10 piece on CoinCheckup puts it.
The meme token has registered a net outflow of around $850,000 over the three days that ended June 10, with on-chain data showing the situation steadily worsening throughout that interval. On June 8, Chillguy was seeing a slight net inflow; by June 10, it had net inflowed around $850,000. Amid rising concerns within the community, could this outflow portend a wider death for meme coins?
This recent wave of selling is particularly remarkable because it is not being driven by short-term flippers or new market entrants. Instead, it is the work of wallets that have held Chillguy for almost seven months.
These are investors who entered the market near the peak and are now exiting at a significant loss (about 60% off the all-time high). Despite this, their decision to sell shows that they have no confidence in any kind of near-term recovery for the Chillguy price. And the effect of their selling on other holders could be pronounced.
Net Outflows Accelerate as Long-Term Holders Exit
The $850,000 in net outflows over the past three days represents a significant shift in activity for Chillguy, which had previously had been enjoying relatively stable holding patterns. Data shows that a majority of the tokens being sold came from addresses with a holding period of around seven months. These wallets are believed to have entered during the token’s peak phase, when market sentiment was euphoric and prices were trading at or near all-time highs.
#Chillguy has experienced notable selling pressure over the past 3 days (June 8–10), with a negative net flow of -$850K.
This sustained outflow is primarily from wallets that have been holding for around 7 months.
These long term holders appear to be scaling out of their… pic.twitter.com/qKFKDSe997
— Stalkchain (@StalkHQ) June 10, 2025
For these holders, it is unfortunate that Chillguy’s price has not returned to prior peaks. As they sell, we see steep losses and in some cases, a selloff that smacks of panic. These moves seem to reflect a surrender by not-what-I-would-call-investors but by holders of a now dubious asset. Analysts also talk about confidence; there is an idea that selling now, instead of holding on for an undetermined time period, signals to everybody watching that this is a ‘do not buy’ moment.
This behavior typically signals that a market cycle is maturing—or, in some cases, ending. When long-term holders begin to give up on recovery and liquidate at a loss, it can represent the late stages of a downtrend. However, it can also create opportunities for new entrants to buy at discounted prices, depending on how the broader sentiment evolves.
Loss-Taking Suggests Capitulation, Not Strategic Rotation
What is especially significant about the Chillguy selloff is the way the exits are happening. This is not a Strategic allocation of assets or a simple rotation into safer coins. According to on-chain analysts, the wallets doing the selling now are mostly selling at a loss, and they are not buying other coins trending upward at the moment. This kind of behavior indicates capitulation. This is the point at which sellers have given up and just want to preserve whatever capital they have left, even if it means realizing a loss on their Chillguy.
Often, a trend reversal can be preceded by capitulation. When even the last weak hands have been shaken out, it often looks like it can’t get any worse—and that’s when sometimes buying steps in. But in Chillguy’s case, the absence of strong buying to counterbalance the selling suggests that the token may face continued downward pressure in the short term.
In addition, the absence of any recent substantial trigger—like protocol improvements, exchange listings, or community happenings—adds to the uncertainty. Lacking fresh narratives to drive new demand, the token may find it hard to draw in new interest and change its current direction.
What This Means for Chillguy’s Near-Term Outlook
In the next few days, we will be able to make a much more informed judgment about Chillguy’s resilience. If it can pick up some buying momentum and see some net address growth at lower price levels, that would suggest the potential for Chillguy to stabilize and maybe recover some of the value it has lost. On the other hand, if net outflows continue apace, it will seem increasingly likely that the market is in a phase of prolonged distribution and loss realization.
Individuals who watch the market should closely monitor the activities of wallets, particularly those belonging to newer investors. These individuals may have a shorter time horizon and a lower tolerance for volatility, making them potentially more prone to selling during a downturn. If this group does engage in selling, it could exacerbate any downward movement in the market. On the other hand, if we see “old” money in the market (i.e., wallets that hold a large quantity of tokens) start buying in higher volume, or if we see a revival in the social media space in terms of the amount of conversation around these assets, this could serve as a counterweight to any downward movement.
Currently, Chillguy is under pressure, with the exit led by long-term holders. Whether this signifies the last leg of the ongoing correction or the onset of a more severe downturn is yet to be determined. Traders and investors would do well to keep a close eye on the situation as the token passes through this crucial moment.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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