**Hyperliquid Suspends POPCAT Trading Amid Price Manipulation Concerns**
Decentralized cryptocurrency exchange Hyperliquid has announced a temporary suspension of deposits and withdrawals for the POPCAT trading pair. The decision comes amid suspicions of potential price manipulation following a dramatic pump-and-dump event earlier today.
POPCAT, noted as one of the altcoins hit hardest by liquidations during the wave of volatility, drew significant attention after the platform halted operations for maintenance. On-chain data from ArbiScan also confirmed that Hyperliquid had paused trading activity.
What truly caught the community’s interest were allegations that an individual attempted to artificially inflate POPCAT’s price. On-chain analyst MLMabc shared insights on X (formerly Twitter), revealing that a user had withdrawn 3 million USDC from the OKX exchange roughly 13 hours ago. The funds were split among 19 different wallets and used to open a long position worth approximately $20 million in POPCAT, seeking to push the price to $0.21.
According to MLMabc, once the buy wall was lifted, this investor liquidated their entire $20–$30 million POPCAT position. The rapid sell-off resulted in a $4.9 million loss on positions absorbed by Hyperliquid’s liquidity provider (HLP). Hyperliquid responded by manually closing the position to mitigate further damage.
This episode is reminiscent of another manipulation incident Hyperliquid faced in March, involving the Solana memecoin JELLYJELLY. That situation led to unrealized losses of around $12 million for the exchange.
Hyperliquid’s latest measures underscore ongoing challenges decentralized exchanges face in combating market manipulation. Community members and investors are urged to exercise caution during periods of extreme price movements.
*This is not investment advice.*
https://bitcoinethereumnews.com/crypto/this-altcoin-may-have-been-manipulated-big-today-first-a-pump-then-a-major-dump-todays-top-story/
