The price of $ACT token has experienced a decline of 50% today April 1, 2025. The price of the token was approximately $0.189 before it crashed down to $0.087 as a result of major liquidation and change in rules of Binance Futures.
Whale Liquidation Sparks Downturn
There had been a major liquidation where a whale lost $3.79 million in liquidation. At the time of liquidation, the token priced at $0.189 on Binance Futures. This incident was observed right after Binance updated its leverage and margin rules. According to the new rules, the maximum leverage is now capped at $4.5 million at 1x.
Due to this some of the market makers found their positions to be exceeding the new limits and were then forced to liquidate their tokens at market price.
The whale’s $3.79 million position was liquidated at $0.189, which triggered a sell-off and caused the token’s price to drop by 50%. This incident sheds light on the impact of high-leverage trading and liquidity shocks on smaller tokens.
The $ACT Project team Responds to Crisis
After the fluctuation was observed, the $ACT team issued an official statement via social media platform X (formerly known as Twitter). The team announced that it has already started an investigation into the incident and is also collaborating with relevant parties to address the entire situation.
Also, the team announced that they are also working with trusted partners to come up with a response plan which will stabilize the token and restore investor confidence. The team has also assured its users that further updates will be provided as soon as new findings are reported.
Market Impact
The $ACT token had a circulating supply of 948 million tokens and had a fully diluted valuation of $89 million before the crash. With this liquidation, the market cap of the token has been affected to a great extent. The investors are now on a lookout for clarity from the project team as they work to navigate their way from this situation.
At press time, the price of the token stands at $0.09883 with a dip of 47.9% in the last 24 hours as per CoinGecko.
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