Crash

Major

Altcoin

Arthur

<ul>
 <li>Altcoins on Binance saw flash crashes of up to 90%.</li>
 <li>Rumors suggest auto-liquidation of cross-margin positions.</li>
 <li>Arthur Hayes says such lows may not return soon.</li>
</ul>
In the early hours today, the crypto market witnessed a dramatic event as many altcoins on Binance experienced flash crashes, with some dropping more than 90% in minutes. Among the hardest hit was IOTX, which briefly fell to $0, shocking traders and triggering widespread concern.
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The crash wasn’t limited to one or two tokens—numerous altcoins were affected, showing steep and rapid declines before rebounding. The abrupt nature of these drops has sparked debate about what exactly happened.
<h2 class="wp-block-heading" id="rumored-liquidations-behind-the-crash">Rumored Liquidations Behind the Crash</h2>
Arthur Hayes, co-founder of crypto exchange BitMEX, offered insight into the situation. He pointed to market rumors suggesting that centralized exchanges (CEXs) may have automatically liquidated collateral tied to cross-margin positions.
In cross-margin trading, users’ entire balance is used to avoid liquidation. However, if the market turns sharply, this mechanism can backfire. According to the rumors, once certain altcoin prices dropped, the automated systems triggered forced liquidations, causing a domino effect of selling pressure and massive price slumps.
This is particularly concerning as these liquidations seem to have happened without warning, raising questions about risk controls on major exchanges.
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 Early this morning, many altcoins on Binance experienced sharp crashes of over 90%, with IOTX briefly dropping to $0. Arthur Hayes, co-founder of BitMEX, commented that market rumors suggest major centralized exchanges (CEXs) automatically liquidated collateral tied to… <a href="https://t.co/1O5hylhcgr" rel="noopener noreferrer nofollow">pic.twitter.com/1O5hylhcgr</a>— Wu Blockchain (@WuBlockchain) <a href="https://twitter.com/WuBlockchain/status/1976863624330465650?ref_src=twsrc%5Etfw" target="_blank" rel="noopener noreferrer nofollow">October 11, 2025</a>
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<h2 class="wp-block-heading" id="will-prices-recover">Will Prices Recover?</h2>
Despite the chaos, Hayes offered some reassurance. He stated that many high-quality altcoins are unlikely to revisit these low levels again anytime soon. This suggests that the drops may have been technical anomalies rather than indicators of true market value.
For now, the event is a stark reminder of the risks tied to margin trading and the vulnerability of even top altcoins in volatile conditions. Traders are urged to review their margin settings and risk exposure on centralized platforms.
<h4 class="wp-block-heading">Read Also :</h4>
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 <li><a href="https://coinomedia.com/crypto-payments-south-africa/" rel="noopener noreferrer nofollow">Crypto Payments Now Accepted at 650K Stores in South Africa</a></li>
 <li><a href="https://coinomedia.com/bitmine-1-9b-eth-loss/" rel="noopener noreferrer nofollow">Bitmine Faces $1.9B Floating Loss on Ethereum Holdings</a></li>
 <li><a href="https://coinomedia.com/largest-crypto-liquidation/" rel="noopener noreferrer nofollow">Largest Crypto Liquidation Ever Shakes Market</a></li>
 <li><a href="https://coinomedia.com/ethereum-tvl-stable/" rel="noopener noreferrer nofollow">Ethereum TVL Holds Steady at $92.7B</a></li>
</ul>
The post <a rel="noopener noreferrer nofollow" href="https://coinomedia.com/altcoins-crash-binance/">Altcoins Crash Over 90% on Binance in Sudden Liquidation</a> appeared first on <a rel="noopener noreferrer nofollow" href="https://coinomedia.com">CoinoMedia</a>.

Altcoins Crash Over 90% on Binance in Sudden Liquidation

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