title: Story (IP) and The AI Prophecy (ACT) token saw a massive 20% crash and subsequent rebound

The Story (IP) and The AI Prophecy (ACT) token saw a massive 20% crash and subsequent rebound earlier today.

The cryptocurrency market saw a chaotic scene earlier today as Story (IP) and The AI Prophecy (ACT) token saw a 20% crash and subsequent rebound. The exact trigger is still unclear, but the pattern has been linked to high trade volumes on Binance Futures.

This comes after MANTRA’s OM token crashed 90% yesterday, and its co-founder blamed Binance.

This comes after MANTRA’s OM token crashed 90% yesterday, and its co-founder blamed Binance.

While both ACT and IP are largely unrelated token projects, they saw similar patterns of crashing and rebounding at the same time.

While both ACT and IP are largely unrelated token projects, they saw similar patterns of crashing and rebounding at the same time.

Both tokens saw massive drops of over 20%, which was linked to activity on Binance Futures. However, both tokens shot back up shortly after.

Both tokens saw massive drops of over 20%, which was linked to activity on Binance Futures. However, both tokens shot back up shortly after.

At the time of writing, ACT had a 2.5% increase in the past 24 hours, while IP saw a 10.48% drop. However, over the past seven days, IP still saw a 168% growth.

At the time of writing, ACT had a 2.5% increase in the past 24 hours, while IP saw a 10.48% drop. However, over the past seven days, IP still saw a 168% growth.

For several months now, IP has been a top-performing asset, and its sudden drop sparked fear among holders.

For several months now, IP has been a top-performing asset, and its sudden drop sparked fear among holders.

However, the subsequent recovery suggested that the volatility was short-term.

However, the subsequent recovery suggested that the volatility was short-term.

According to Coinglass data, over 1.27 million ACT futures trades were executed on Binance—more than double the second-highest exchange, BingX. Binance also holds over $20.4 million in ACT futures open interest.

This extreme concentration makes Binance a critical price discovery engine, especially for mid-cap tokens. When large positions are quickly liquidated—often triggered by stop-losses, margin calls, or algorithmic trading—it can create an outsized impact on underlying token prices.

Futures markets now frequently surpass spot markets in volume and velocity. While this enhances liquidity, it also increases fragility. A liquidation cascade—where long positions are forcefully closed due to declining prices—can accelerate downward momentum.

Today’s synchronized drop in both IP and ACT suggests that excessive leverage and crowded positions may have triggered such a cascade on Binance.

These moves reaffirm that token prices, particularly for emerging or mid-cap assets, are increasingly shaped by derivatives markets. As more projects are listed on futures platforms early, volatility driven by short-term positioning rather than long-term value creation is becoming the norm.

News data source: kdj.com

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