- Binance sent $32M SOL to Wintermute while Coinbase sent $30 USDC to potentially buy the dip.
- Solana’s market dropped over 10% during the weekend, potentially caused by Binance’s alleged manipulation.
Allegedly, the Binance exchange recently engaged in “flushing” or “liquidation hunting” by sending over $32 million worth of Solana [SOL] to market maker Wintermute during a low volume weekend.
The intent was clear: to push the price of SOL down into the lower range, thereby forcing long-standing leverage traders to liquidate their positions.
This strategy is particularly effective on weekends, when trading volumes are naturally lower, making markets more susceptible to manipulation.
According to AMBCrypto’s look at Arkham’s data, Wintermute played its part by selling the SOL at a lower price, thus dumping the price further, only to buy it back at the artificially depressed rates.
Once the dip was manufactured, Wintermute reportedly returned more SOL to Binance than it had initially received, capitalizing on the price difference.
This was a win-win scenario for both entities, but according to crypto commentator MartyParty,
“The losers are the leverage traders and the panic sellers.”
Similarly, Coinbase had sent $30 million in USDC to Wintermute on Solana, reportedly to take advantage of the dip, responding to recent claims of insufficient SOL holdings that led to users getting delays in their Solana withdrawals.
Go to Source to See Full Article
Author: Lennox Gitonga
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
