Fartcoin has fallen approximately 28% from its Thursday morning peak, trading around $0.178 according to CoinGecko data. The meme coin had surged from $0.166 on Tuesday to $0.247 the following day, posting a 48% gain in under two days. That rapid climb was quickly reversed, triggering a sharp V-shaped correction that caught many leveraged traders off guard.
The reversal liquidated $48 million in long positions and $3.7 million in short positions within a 24-hour window, according to data from CoinGlass. The total 24-hour liquidation figure reached $51 million, ranking third across all cryptocurrencies behind only Bitcoin and Ethereum. Analysts note this was the largest liquidation event for Fartcoin since November 2025, highlighting the extreme volatility surrounding the token.
Enjin Coin experienced a comparable pattern during the same period. The token climbed from $0.020 on Wednesday to $0.0383, recording an 86% gain before reversing course. The resulting liquidations wiped out $3.8 million in positions over 48 hours, marking the token’s largest such event since April 2025.
A significant portion of these liquidations occurred on decentralized exchange Hyperliquid, which recorded $85 million in 24-hour liquidations. That figure surpassed activity on centralized platforms including Binance, Bybit, and Gate. The concentration of liquidations on a decentralized venue underscores a shift in where leveraged altcoin trading is taking place.
Tim Sun, senior researcher at HashKey Group, attributed the turbulence to a combination of declining macro risk appetite and tightening on-chain liquidity. He noted that altcoins typically have shallow market depth and a high concentration of holdings, making them susceptible to sharp price swings. During periods of liquidity contraction, market makers and short-term speculative capital tend to pump prices before distributing holdings, reinforcing cycles of rapid gains followed by steep declines.
Other tokens that had performed strongly the previous week also retreated. Algorand, Bittensor, and World Liberty Financial each fell between 5% and 9% over the past 24 hours, reflecting what observers describe as a narrative-driven rotation of capital. The broader altcoin market remains under pressure as investors reassess risk exposure.
Geopolitical developments are adding to market uncertainty. A ceasefire between the U.S. and Iran is described as fragile, with experts pointing to a lack of clarity on the Lebanon front. In a post on TruthSocial, U.S. President Donald Trump stated that American ships, aircraft, and military personnel would remain in position near Iran until a formal agreement is reached and fully complied with, warning of a stronger military response if negotiations fail.
Sentiment on prediction market Myriad has shifted in response to the uncertainty, with users now assigning a 66% probability that crude oil prices will rise to $120, down from 89% on Tuesday when the ceasefire was first announced. Myriad is owned by Dastan, the parent company of Decrypt. Despite the unsettled backdrop, Bitcoin has held above $70,000, trading near $71,100 and down just 0.5% over the past 24 hours according to CoinGecko.
Originally reported by Decrypt.
