Binance Altcoin Crash: Sudden Sell Orders and Unusual Whale Activity Spark Fears
01.04.2025 16:23
On April 1, 2025, several altcoins on Binance experienced abrupt and severe price drops. The ACT/USDT pair plunged more than 50% within minutes, while DEXE/USDT and DF/USDT saw declines of 23% and 16% respectively, triggered by simultaneous large-scale sell orders. An emerging theory suggests these drops may be connected to manipulative actions on the decentralized exchange Hyperliquid, where unknown whales reportedly opened large short positions in a low-cap altcoin, JELLYJELLY, attempting to induce liquidations. Although no official statement has been released by either exchange, the incident has raised concerns about potential market manipulation and its implications for altcoin trading stability.
ACT’s over 50% plunge within minutes reflects extreme sell pressure, likely generating high short-term volatility and a risk of further declines if panic selling continues. The dramatic drop may deter investors in the immediate term, though long-term recovery could occur if market conditions stabilize.
The 23% fall in DEXE indicates its susceptibility to sudden market shocks. The rapid price drop may trigger further short-term volatility as traders react, but stabilization might happen if liquidity returns and institutional investors re-enter the market.
DF’s 16% decline, though less severe, still points to significant market disruption. In the short term, the coin may experience continued declines due to lingering panic, while any long-term recovery will depend on renewed confidence and stabilization in trading volumes.
JELLYJELLY is subject to unusual market manipulation as whales' large short positions have forced liquidations. This targeted action can produce immediate, sharp declines and heightened volatility, with uncertain long-term effects depending on whether corrective buying pressure emerges.
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