On April Fools’ Day, a significant sell-off in altcoins and memecoins caused sharp price drops, with Act I The AI Prophecy (ACT) plummeting 58% from $0.19 to $0.08 in under an hour, resulting in a market cap loss of $96 million. Notably, other memecoins like sudeng (HIPPO), CZ’S Dog (BROCCOLI), and Kishu Inu (KISHU) also faced price declines. Despite this turmoil, major cryptocurrencies like Bitcoin remained stable. Act I reassured its community, stating that they were aware of the situation and investigating the matter. Speculations suggested that a leverage update by Binance led to significant whale liquidations, including a $3.8 million liquidation linked to ACT. Additionally, community theories arose about potential selling by the trading firm Wintermute. However, Wintermute's CEO denied any involvement in this market activity. The incident raised confusion within the crypto community about the underlying causes of the altcoin sell-off.

Source 🔗