Bitcoin, Ethereum and Dogecoin Plunge as Crypto Liquidations Top $1.1 Billion

💡 DMK Insight

Bitcoin’s 4% drop is just the tip of the iceberg—altcoins are feeling the heat even more. Ethereum, XRP, and Dogecoin have all seen sharper declines, indicating a potential risk-off sentiment among traders. This could signal a broader market correction, especially with Bitcoin’s dominance still a key factor. If Bitcoin continues to slide, watch for Ethereum to test support levels around $3,500. A breach below that could trigger further sell-offs across the altcoin space, leading to cascading liquidations. Traders should also keep an eye on the funding rates; if they spike, it could indicate excessive leverage and a potential reversal. On the flip side, this might present a buying opportunity for those looking to accumulate at lower prices. However, caution is warranted—if Bitcoin doesn’t stabilize soon, we could see a deeper correction across the board. The next few days will be crucial, so monitor Bitcoin’s price action closely and be prepared for volatility.