The $POPCAT Manipulation: What Happened?
In a breaking exposé, on-chain researcher @SpecterAnalyst unveiled one of the most aggressive market manipulation attempts of the quarter on Hyperliquid. The investigation points directly to BTX Capital and its founder, Vanessa Cao, raising questions about transparency in the crypto trading space.
The manipulation involved 26 wallets, a $25 million artificial buy wall, and intricate transactions across prominent exchanges like OKX and Bybit. The outcome? Hyperliquid’s liquidity provider (HLP) suffered a shocking $4.9 million in losses, while the suspect likely seized profits by taking the opposite position on centralized exchanges.
How the Manipulation Unfolded
On November 12, Hyperliquid’s order books showed unexpected activity for the $POPCAT token at the $0.21 level. A massive $25 million buy wall created the illusion of high demand. As traders reacted, scrambling to open leveraged long positions, the buy wall vanished instantly, triggering mass liquidations. This textbook manipulation caught countless traders off guard.
Blockchain analysis revealed a deeper, more structured operation. The wallet chain started with 0x0A11…773C3, which funded seven additional wallets linked to the manipulation. These transactions connect directly to BTX Capital and its founder, solidifying their involvement in this price-action stunt.
BTX Capital: A High-Stakes Player
Founded in 2019, BTX Capital presents itself as a liquid investment firm specializing in token strategies. However, the investigation shows their willingness to use their access to substantial capital to manipulate markets for profit. The $POPCAT incident is not the first time they’ve been implicated in similar schemes. Past incidents include sudden unnatural pumps on Hyperliquid, where the pattern remained the same: on-chain manipulation for off-chain profit.
BTX’s strategy is clear and effective:
- Overwhelm token prices using buy or sell pressure.
- Entice traders to take the bait.
- Trigger liquidations with sudden reversals.
- Capture profits using centralized exchanges like OKX or Bybit, where deeper liquidity minimizes slippage.
Impact on Traders and the Industry
This operation highlights the risks traders face in today’s volatile crypto markets. BTX’s ability to absorb millions in collateral losses speaks to their access to deep pockets, but it raises red flags about market integrity and investor protection.
Following the investigation, BTX Capital deleted nearly all posts from their X account, leaving only one untouched. The timing corresponds directly with the wallet evidence publication, intensifying suspicions further.
Your Takeaway as a Trader
This incident underscores why it’s more important than ever for investors to conduct due diligence before making any investments in the crypto space. Personal research and access to transparent data remain critical tools for navigating these challenges.
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Stay informed by following @nulltxnews for the latest updates on cryptocurrency and blockchain developments.
Disclaimer: This article is for informational purposes only and should not be considered financial advice. Always do your research before investing in cryptocurrency or related services.
