TL;DR
Exit liquidity refers to new buyers whose purchases provide the liquidity that allows earlier holders (often insiders) to sell at a profit — essentially, the last people buying before a dump.
In a pump-and-dump scenario, insiders accumulate tokens early at low prices, then generate hype to attract new buyers. These new buyers’ purchases push the price up and provide the market depth needed for insiders to sell their large bags. Once insiders have sold, buying pressure evaporates and the price crashes. The new buyers who bought the top are left holding devalued tokens — they were the exit liquidity.
Watch for concentrated holder distributions (top wallets holding large percentages), sudden social media hype from paid influencers, tokens with no clear utility or narrative, and deployers with poor track records. If a token is being heavily promoted right after a big price run-up, the promoters are likely looking for exit liquidity.
Use Token Scanner to check holder distribution and bundle detection. Use Deployer Hunter to verify the deployer’s track record. Check Wallet Scanner on wallets promoting the token. If top holders bought at much lower prices and are sitting on huge unrealized gains, they’re likely looking to exit into your buy. Being early (buying on deployer alerts rather than hype) is the best defense.