Multiple Altcoins Crash on April Fools' Day, Overall Crypto Market Remains Stable

ACT token plummeted 58% within minutes, with Altcoins and memecocoins on April 1st, triggered by Binance leverage adjustments leading to massive liquidations.

On April Fools' Day, multiple Altcoins and meme coins experienced severe selling, with some tokens like Act I The AI Prophecy (ACT) crashing nearly 60% within minutes.

According to CoinMarketCap data, Act I The AI Prophecy (ACT) - a tokeneme related to artificial intelligence, plummeted from $0.19 to $0.08 in less than an hour on April 1st, with market value evaporating by $96 million, a 58% drop.

ACT's crash was accompanied by an overall Altcoin market downturn, with meme coins like sudeng (HIPPO), CZ'S Dog (BROCCOLI), Kishu Inu (KISHU), DeXe, dForce (DF) and other tokens experiencing significant price drops p>

The broader crypto market was not negatively impacted by the Altcoin market panic, with major cryptocurrencies like Bitcoin remaining on an upward trajectory at the time of time writing><3I "Fully Understand the Situation h3>">"Our team is actively investigating and collaborating with all relevant parties this issue Act I stated, adding that they have begun developing a ""response plan" with trusted partners.

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Binance Leverage Adjustment Triggers $3.79 Million Whale Liquidation

According to blockchain analysis tool Lookonchain, Binance adjusted leverage and margin levels for tokens like ACT on April 1st, leading to forced liquidation of some large positions.

"Binance updated leverage leverage and margin levels for tokens like ACT, with one whale liquidated at $0.1877, losing $3.79 million," Lookonchain posted on X platform.

Source: Lookonchain

According to Binance's official blog, Binance Futures updated leverage and margincrlevels for trading pairs like ACT/USDT on April 1st at 10:30 UTC.

Binance noted that this adjustment affected existing positions before before the update, potentially to causing forced liquidation or position adjustments.

Wintermute Sell-off Speculation Triggersels Market Panic

During the Altcoinoin crash,, community specthat global algorithmic trading firm Wintermute might have liquidated multiple Altcoin positionsoin April fist, exacerbating market selling sentiment.

Some marketplace market observers even speculated that the-be due to a hacker attack, while many remained confused about the true reason.

Source: Daniele (Degen Arc)

"Market makers (((won't dump their reason order book without without reason. It a, bankruptcy liquidation, or someone suffered a severe leverage liquidation," dekadicic commented.

Some also speculated that Wintermute might be involved with the USD1 stablecoin launched by World Liberty Financial, related to Trump.

"This could be a significant trade for them,m, so they are reducing risks for assets that might not be compliant or align with their new," institutional brand positioning," daniele (Arc) stated.

Wintermute CEO Denies Company's Involvement inRah

Wintermute co-founder and CEO Evgeny Gaevoy responded to X userblocks denying the company's involvement in the April 1st Altcoin crash.

"Not us (for reference), but I'm also interested in understand the recap of of this crash," Gaevoy wrote.

<< img alt="Crash" src="https://hx24-prod.mars-block.com/image/news/2025/04/02/1743523761874350.png">

Later, Likepostedblon social media,ret initial accusationsation against Wintermute.

"They are actually providing better liquliqufor the and are to competitors, transparency," Likebladded.

Cointelegraph sought comments from Wintermute regarding market movements but had not received a response at the time of publication.