Panic Spreads Across Crypto Twitter
A new wave of unverified claims is circulating on X, with users alleging that Binance is intentionally selling large amounts of Ethereum to “wipe out” long traders. According to the rumor, the exchange is allegedly offloading hundreds of millions of dollars in ETH to trigger forced liquidations.
As of now, there is no verifiable proof or official statement confirming such activity.
No On-Chain Evidence Supports the Claims
Blockchain data does not currently show unusual wallet movements linked directly to Binance that would indicate a coordinated sell-off of this magnitude. Likewise, order book data across major exchanges appears within normal range for a volatile market environment.
In most cases, sharp price drops are caused by a combination of leverage, thin order books, emotional trading and cascading liquidations, rather than coordinated manipulation from a single entity.
Why These Rumors Appear During Volatility
Whenever the market enters a period of heightened volatility, fear-based narratives tend to spread rapidly. If large numbers of traders are overleveraged in one direction, any sudden move can be interpreted as intentional pressure from an exchange or large market maker.
In reality, liquidation cascades often happen automatically when traders fail to meet margin requirements.
Caution Against Emotional Trading
Rumors like this can accelerate panic and cause retail traders to make emotional decisions. History has shown that unverified claims on social platforms frequently misinterpret normal market mechanics, liquidity shifts or whale activity.
For traders, the current environment highlights the importance of risk management, moderate leverage and patience in volatile conditions.
