Bitcoin (BTC), XRP, and Dogecoin (DOGE) Take Hits as the Crypto Market Faces a Bearish Pullback

The cryptocurrency market is undergoing a mild but noticeable bearish pullback, with Bitcoin (BTC), XRP, and Dogecoin (DOGE) all taking hits. As of now, the combined market capitalization of digital assets has fallen by 2.06%, dropping to $3.43 trillion.

The cryptocurrency market is experiencing a mild bearish pullback, with Bitcoin (BTC), XRP, and Dogecoin (DOGE) facing some pressure. As of now, the combined market capitalization of digital assets has dropped by 2.06%, falling to $3.43 trillion. This decline, coupled with a rising trend of crypto liquidations, has raised concerns among traders, especially as a potential weekend crash looms.

Bitcoin, which recently made headlines for breaking the $100,000 mark, is now at risk of falling below this psychological level. The leading cryptocurrency dropped by 1.69% in the last 24 hours, trading at $100,579.67. Its price has fluctuated within a tight range, moving from a low of $100,542 to a high of $102,755 before the latest selloff hit.

BTC’s price movements also contributed to the broader liquidation trend, with a total of $382.51 million in crypto liquidations observed recently, according to Coinglass data. This drop in price mirrors an earlier crypto liquidation event, where Bitcoin plunged from highs of $108,000 to around $95,587.68. Despite this, traders are keeping an eye on the volatility, as Bitcoin co-leads the liquidation trend, contributing to $57 million in liquidations.

Altcoins have not been spared from the broader crypto market downturn, with XRP and Dogecoin taking a harder hit than others. XRP saw a 6.02% drop, trading at $2.884, while Dogecoin took a larger 7.31% dip, dropping to $0.3079, with liquidations totaling $11.89 million. These altcoins are showing a clear dependency on Bitcoin’s price movements, as their fortunes closely mirror the leading cryptocurrency’s fluctuations.

The recent drop in Bitcoin’s price is reportedly linked to speculative trading and a mild build-up of leverage among futures traders. According to Coinglass, Bitcoin’s open interest stands at 631,140 BTC, valued at $63.56 billion, indicating significant exposure and potential for further market volatility. Altcoins like XRP and Dogecoin are merely responding in kind, following Bitcoin’s lead.

The price of Bitcoin had previously surged to an all-time high of $109,114 shortly after the inauguration of President Donald Trump, signaling growing optimism in the crypto sector. With the appointment of Mark Uyeda as acting chair of the U.S. Securities and Exchange Commission (SEC), there has been a shift in the regulatory outlook. Under this new administration, the SEC has approved Bitcoin and Ethereum ETF products, indicating a more relaxed stance on crypto regulations.

Despite the ongoing volatility, this change in regulatory policy could turn the current selloff into a temporary shakeup for Bitcoin and the broader market. The long-term outlook for Bitcoin and other cryptocurrencies, including XRP and Dogecoin, looks promising, with institutional interest and regulatory support continuing to grow. However, traders will have to navigate the turbulence in the short term, as the market adjusts to the latest developments.

While the market is currently experiencing a bearish phase, the underlying factors driving the selloff appear to be temporary. Bitcoin, XRP, and Dogecoin are all showing resilience despite the recent price drops. As the crypto market continues to evolve, regulatory developments, technological innovations, and broader economic influences will play key roles in determining the future trajectory of these digital assets.

For those watching the market closely, this may be a crucial time to stay informed about these key developments and adjust trading strategies accordingly.