XPL dumps after a surge and then instantly crashes by 40%; the top five insider addresses arbitrage $1.6 million

On the early hours of April 3, according to monitoring by HyperInsight, the XPL token price saw what appears to be severe artificial manipulation-related volatility. XPL first surged straight up by 42%, reaching a high of 0.167 USD, then plummeted by more than 40% within 5 minutes. Five newly created addresses that built high-leverage long positions on Hyperliquid at around 1:00 a.m. reportedly exited after accumulating total profits of about 1.602 million USD.

Complete Reconstruction of the Trading Play Timeline: Four Hours from Opening a Position to Exiting via Arbitrage

At 1:00 a.m., the five newly created addresses almost simultaneously deposited funds on Hyperliquid—about 200k+ USD each, totaling approximately 1.292 million USD—and immediately opened XPL long positions with high leverage. It is suspected that spot buying on other platforms was coordinated to push the price up.

During the following 4-hour rally, XPL rose straight up 42% from the low point. The five major addresses’ unrealized profits accumulated significantly, and principal amounts doubled or more. From 4:30 to 4:40 a.m., the five addresses withdrew their margin and all unrealized profits to lock in gains; as a result, their liquidation prices were pushed upward sharply, approaching forced liquidation levels.

At 5:10 a.m., all five addresses simultaneously triggered forced liquidation at around 0.12971 USD for XPL. They reportedly coordinated with spot markets to sell off—within less than 5 minutes, the price broke below 0.12 USD and gave back the entire day’s gains. The five addresses’ initial total投入 of 1.292 million USD ended with profits of about 1.602 million USD upon exit, with a 24%+ return rate over the 4 hours.

A Targeted Liquidation of the Bear Whale: $32.99M Forced Liquidations in Total

During the rally, multiple bear whales holding short positions on XPL had their shorts triggered in succession, and all were forcibly liquidated:

· The addresses (0xbe1), (0x51f), (0x45d), and the address known as “the main bear squad of U.S. and Dubai two oils,” (0x985); all short positions were forcibly cleared during the rally

· Four short positions combined for a liquidation size of over $32.99 million, becoming an important component of the profits earned by the five major addresses in this round

Technical Outlook: Overbought Warnings After a V-Shaped Rebound

Market data for the past 24 hours shows XPL’s low hit 0.10284 USD and its high reached 0.14773 USD, with a volatility range of 43.7%. The overall structure resembles a V-shaped rebound. Daily trading volume jumped from 96.50 million USD the previous day to 153 million USD, an increase of 53.6%.

In terms of technical indicators, RSI printed 79 (overbought zone) and ADX printed 38 (trend strengthening), indicating strong short-term momentum. However, the synchronized overbought reading also signals the risk of a pullback. Analysts are watching the resistance zone of 0.106 to 0.11 USD, and whether the recent support at 0.1025 USD can hold effectively.

Frequently Asked Questions

Does this XPL price movement confirm artificial manipulation?

According to HyperInsight on-chain monitoring, five addresses synchronized deposits and position openings at completely identical time points, then synchronized withdrawals of unrealized profits and triggered liquidation at completely identical time points. The behavioral characteristics strongly suggest coordinated manual operation. There is currently no official characterization; final determination requires a full on-chain attribution analysis and confirmation from relevant institutions.

How is arbitrage achieved with the method of “withdrawing unrealized profits while waiting for liquidation”?

The operators withdraw unrealized profits from their accounts after their positions generate significant gains, but do not close the positions. This causes the liquidation price of the positions to rise sharply toward the current market price. At that point, any minor downturn can trigger forced liquidation. Coordinated with spot sell-offs, it creates a double sell-pressure effect—completing the full exit process of “positions liquidation + spot distribution.” This achieves arbitrage without directly closing the positions.

How large was the loss for the bear whales that were liquidated during the rally?

Four bear whale addresses (0xbe1, 0x51f, 0x985, 0x45d) had all their short positions forcibly liquidated during XPL’s rally. The total liquidation size exceeded $32.99 million, including an address known on the Hyperliquid platform as “the main bear squad of U.S. and Dubai two oils” (0x985).