Dexaggerate

To downplay, withdraw, or pull-back on a previous exaggeration.

"First you said you ate twenty hot dogs, now you're saying it was only ten. You're totally dexaggerating!"

or

Guy: "There were HUNDREDS of babes at that party last night! Well, more like ten... but you get the point."

Buddy: "Dude, you always dexaggerate."

by Lex79 August 1, 2012