Solana, XRP, Dogecoin lead altcoin recovery, $1 billion weekend liquidation The crypto market witnessed a sharp decline after the latest developments on Iranian nuclear facilities due to US military strikes, resulting in liquidations of over $1.2 billion,
Bitcoin and Ethereum in particular suffered the most losses, while altcoins such as Solana (SOL), XRP and Dogecoin (DOGE) showed signs of a rapid market recovery,
Experts say that this quick recovery reflects that geopolitical impacts will be limited and the market will return to normal soon,
A total of about $1.2 billion was liquidated in the crypto market over Saturday and Sunday, with Bitcoin reporting a temporary loss of $230 million and Ethereum reporting a temporary loss of $188 million,
Solana, XRP and Dogecoin Liquidations were also notable, indicating that these cryptocurrencies were under heavy pressure.
Liquidation means that a trader’s position is temporarily closed due to a lack of margin, which usually indicates extreme market volatility.
The market panicked after former US President Donald Trump confirmed coordinated attacks on Iran’s key uranium enrichment facilities, but the situation improved after the weekend on Monday and the price of Bitcoin reached $101,237.
Other cryptocurrencies also appeared to correct their prices, indicating that investors are buying the dip.
Experts believe that some tokens are recovering very quickly due to institutional investment and increasing usage.
According to Eugene Chong, Chief Commercial Officer of OSL, Ethereum has institutional interest while Solana and other Layer 1 tokens have better network activity. Developers are benefiting from the inclusion of developers and expectations of ETF approval.
LVRG Research Director Nick Ruck says the market is hopeful that the Iran-Israel conflict will remain contained and the economic impact will also be limited to the local level,
However, the US has warned that the military response could be more severe if Iran retaliates, and disruptions to oil shipments in the Strait of Hormuz could affect global markets,
The overall crypto market’s sharp recovery argues that it is still in a long-term uptrend, and liquidations are being seen as opportunities for investment.
