Ryan Lee noted that the sharp pullbacks experienced, especially in the altcoins within the Solana (SOL) ecosystem during the recent declines, were due to investors' short-term profit-taking rather than the overall trend of the market.
Bitget Chief Analyst Ryan Lee stated that the price movements of popular meme coins such as Fartcoin (FART) and Pump.fun (PUMP) are shaped more by investors' emotional reactions rather than overall market dynamics. In a statement made via Telegram, Lee emphasized that FART's 14% drop to the 100-day EMA level of $1, Jupiter's loss of 200-day EMA support, and PUMP's movement within a downward channel indicated a loss of momentum and profit-taking rather than a systematic collapse.
Lee included the following statements in his explanation:
"The strength shown by Bitcoin due to ETF-related inflows and the stability of the macroeconomic environment indicate that this decline is an isolated case that will not widely affect the market."
Current situation of Ethereum and other altcoins
In today's overall pullback, Ethereum (ETH) fell to $3,687, while XRP briefly dropped below $3. Binance Coin (BNB) fell to $780 from last week's record levels, and Solana (SOL) dropped below the $170 level.
According to Coinglass data, the largest liquidation in the markets was a $13.7 million ETH long position on the Binance exchange. Liquidations increase market volatility by causing the positions of investors using high leverage to automatically close in response to sudden price movements.
Bitcoin (BTC) continues to stay above the $115,000 level, which is seen as critical support for the market. Experts believe that as long as this level is maintained, the decline in the altcoin markets is expected to be temporary. However, if the support level is broken, deeper waves of selling may occur.$PEPE