Binance's delisting announcement became "good news" for tokens, $ALPACA soared 650% against the trend and crushed the short position

The world's largest exchange Binance opened its first "token delisting" vote on March 21, and so far, Binance has held 2 token delisting votes. The second delisting vote results were announced on the 24th, with Binance's official announcement stating that spot trading pairs for $ALPACA, $PDA, VIB, and $WING will be delisted and trading will stop on May 2, 2025, at 11 AM. $Alpaca Surges Over 600% Against the Trend We know that being delisted from spot trading pairs is extremely bearish news for tokens, and token prices usually plummet as a result. Interestingly, $ALPACA's price surged against the trend after the delisting announcement. It rose from a low of $0.029 to a high of $0.2173, an increase of 649%. Currently, ALPACA is trading at $0.1995, up 158% in the past 24 hours. Community: Short-Selling Low Market Cap Alpaca is Irrational Regarding why $ALPACA surged after the delisting news, community KOL Benson Lin shared three perspectives: - ALPACA is the only token with a large contract among those being delisted, with the strongest and lowest-cost market-making potential - Recently, many small market cap tokens have been pumped, and Alpaca's market cap was around $6-8 million before the decline, already extremely small - Because its market cap is so small, continuing to short is irrational, so the short-selling expectation is higher, and such news trading will attract many uninformed traders to short, potentially allowing smart money to punish late short sellers Additionally, after Alpaca's surge, many "short" groups emerged, causing ALPACA to have a high negative funding rate recently. In response, Binance adjusted the token's contract funding rate settlement frequency from every 4 hours to every 2 hours, and other exchanges also adjusted contract funding rates to increase pressure on short traders. According to Coinglass data, Alpaca liquidations in the past 24 hours reached $16.23 million, with short liquidations accounting for $13.59 million.