$LIGHT has recently experienced extreme fluctuations. In just a few hours, the Token fell from $4.70 to around $0.90, a drop of up to 80%. During this decline, the Large Investors faced significant selling pressure, causing a sudden reversal in market sentiment, with the community filled with pessimistic voices. According to statistics, this round of decline triggered over $17M in liquidation events.

The specific timeline is as follows: On December 22, the Token experienced an 80% fall in a short period, with trading volume briefly ranking among the top; just a day earlier (December 21), the project team had announced progress in its technical cooperation with Magic Protocol, but this positive news was completely overshadowed by the subsequent fluctuation.

Why is this happening? The root cause points to two aspects - firstly, the financing costs were at a high level at that time, and secondly, the supply of Tokens was overly concentrated, with 10 wallets controlling 80% of the chips. This extreme supply pattern, combined with high financing costs, creates the perfect conditions for a "liquidation storm": if Large Investors slightly reduce their holdings, it can trigger a chain reaction that further depresses prices.