Altcoin Season Hits Pause
• Broad sell-off Wednesday: Major altcoins dropped sharply, signaling a cooling or potential end to the much-anticipated “altcoin season” .
• Liquidations surge > $200M: More than $200 million in long positions were wiped out. Breakdown: ~$43M in ETH, ~$32M in XRP. XRP fell ~7%, SOL dropped ~6% .
• Bitcoin dominance rises: BTC dominance climbed back above 60%, reflecting stronger investor preference for stability .
• ETH support warning: Ethereum needs to hold the $3,470 support level or risk a deeper decline—leverage-heavy market (~$24B open interest) adds to vulnerability .
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Coin Approx. Drop Notes
SOL (Solana) –5.7% to –6.4% Among the sharpest decliners
XRP (Ripple) –6% to –7.5% Thin liquidity exacerbates declines
TON –9% to –9.9% Some of the steepest losses seen
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What’s Driving the Dip
Leveraged positions: High open interest made altcoins susceptible to cascading liquidations under sharp downside moves .
Liquidity shortages: Sluggish volume intensified price swings, notably in XRP and SOL .
Market rotation: Confidence appears shifting from altcoins back into Bitcoin, reinforcing BTC dominance .
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🔎 Market Outlook
Short-term caution: Traders are advised to monitor key support levels—ETH at ~$3,470, XRP and SOL proximity to recent lows—for signs of capitulation or stabilization.
Altcoin season? On hold: With corrections underway, any renewed rally will likely require fresh catalysts—like regulatory clarity or bullish DeFi/meme coin developments.
Bitcoin’s role: Stability in BTC could attract capital away from higher-risk altcoins, lengthening the breather.
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Broader Crypto Highlights
While altcoins zig, a few coins zigzag:
BNB hit a new all-time high of $804, jumping over 5% .
PancakeSwap’s CAKE climbed ~9%, targeting a breakout above $3 .
Worldcoin (WLD) surged ~13%, fueled by strong volume and bullish momentum .
