1011 Why do some altcoins flash crash close to zero? Why do some altcoins just drop heavily? Why are some altcoins still rising? Why do some altcoins recover quickly? Why do many altcoins only recover partially? The main reason is that most altcoins lack liquidity below; usually, only a small amount of funds are engaged in wash trading for market-making. Once major negative news hits, the market price gets smashed straight through.