Bitcoin (BTC), XRP, and Dogecoin (DOGE) See Another Bearish Downturn, Suggesting a Potential Crash Over the Weekend

The cryptocurrency market is experiencing another bearish downturn, with Bitcoin (BTC), XRP, and Dogecoin (DOGE) drawing significant attention.

As the 2nd of February 2025 approaches, the cryptocurrency market is experiencing another bearish downturn, with Bitcoin (BTC), XRP, and Dogecoin (DOGE) drawing significant attention. The total market capitalisation has fallen by 2.06%, bringing it down to $3.43 trillion. Current liquidation trends suggest a potential crash over the weekend.

Bitcoin, the world’s leading cryptocurrency by market capitalisation, is at risk of dropping below the critical $100,000 psychological barrier. The cryptocurrency recently made headlines for achieving its first monthly close above this threshold. Despite the market’s mild consolidation, some buyers are still securing profits.

As of now, Bitcoin is trading at $100,579.67, reflecting a 1.69% decrease over the past 24 hours. The coin has fluctuated within a narrow range, with a low of $100,542 and a high of $102,755 prior to the selloff.

This bearish outlook has resulted in a combined liquidation of $382.51 million, according to Coinglass data. This figure is notably less than the earlier liquidation of $1.1 billion, which saw Bitcoin plummet from a peak of $108,000 to $95,587.68. Currently, traders are on high alert, with Bitcoin co-leading the liquidation trend at $57 million.

The downturn has also impacted altcoins, with Ethereum leading individual asset liquidations at $72.12 million. XRP has seen a spot price of $2.884, down 6.02%, while Dogecoin has dropped 7.31% to $0.3079, facing $11.89 million in liquidations. Despite Bitcoin’s dominance in market share, these altcoins have shown a strong correlation to its price movements.

Some may attribute the recent decline in Bitcoin’s price to speculation, with mild leverage build-up challenging futures traders. According to Coinglass, Bitcoin’s Open Interest is at 631,140 BTC, valued at $63.56 billion, highlighting the exposure of futures traders.

It’s worth noting that Bitcoin previously reached an all-time high of $109,114 shortly after Donald Trump’s inauguration, and the future outlook for BTC and the broader cryptocurrency sector appears promising with the new administration.

The appointment of Mark Uyeda as acting chair of the U.S. Securities and Exchange Commission (SEC) has shifted regulatory perceptions, with the agency approving the Bitwise Bitcoin and Ethereum ETF product, signalling a potential easing of scrutiny.

Given these evolving dynamics, the current selloff in Bitcoin’s price may prove to be a temporary setback, with the market likely to rebound in the near term.