$ALPACA Analysis of the delist effect of ALPACA on Binance

Delisting context

ALPACA, the token of the Alpaca Finance project (a DeFi lending protocol), was announced by Binance to be delisted on April 24, 2025, along with PDA, VIB, and WING. The reasons for delisting are often related to low liquidity, poor development activity, or lack of community engagement, although Binance did not provide specific details.

Surprising price increase phenomenon

Despite being on the delisting list, ALPACA appeared in the top gainers around April 20, 2025, before the official announcement. This phenomenon can be explained by:

Market manipulation: ALPACA is a mid-cap token with relatively low liquidity, easily influenced by large buy orders from whales or trading bots. Some speculative groups may have accumulated tokens at low prices following the delisting rumors, then pushed the price up through fake liquidity or increased Open Interest (OI) in the derivatives market.

FOMO psychology: The delisting news triggered a sell-off from retail investors, driving the price down to low levels. This created an opportunity for large investors to buy in, leading to a rapid price recovery as FOMO psychology spread.