The crypto market is down today. The Bitcoin price marked an intraday low of around $64,290 from its highs at $67,684, a plunge of over 4.6%. On the other hand, Ethereum also underwent a similar plunge from $1,957 to $1,848 after holding the support at $1,914 for nearly a week. The market dropped by 4.31% to $2.23 trillion in the past 24 hours, primarily driven by a massive liquidation cascade in Bitcoin derivatives.
Bitcoin long liquidations surged 934% in the past 24 hours to $211 million, with over $200 million in crypto longs liquidated in just one hour as BTC neared $65,000. This indicates an overleveraged market where forced selling amplified the downturn. The cascade created a feedback loop, and falling prices triggered more liquidations, which pushed prices lower, affecting all correlated assets.
Altcoins Display Strength – PIPPIN Price Leads the Top Gainers
As a result, the altcoins were also negatively affected, with tokens in the top 10 plunging significantly. Solana underwent a massive pullback as it lost the crucial $80 support, reaching $77.43 with a nearly 9% pullback. Besides, XRP, Dogecoin, & Bitcoin Cash experienced over a 5% drop each, reaching $1.34, $0.092 and $539.07, respectively. With this, the altcoin market cap also plunged below $940 billion, marking lows close to $910 billion.
The market cap consolidated between $935 billion and $955 billion for a few days after losing the local highs close to $990 billion. The latest drop seems to have broken the ascending consolidation, raising the possibility of a deeper correction. The altcoins like LayerZero and pump.fun lead the losers with a 10.21% and 8.72% drop, respectively. On the other hand, the price of Pippin continues to rise with a nearly 34.36% jump, followed by the price of Kite with an 18.30% rise and Memecore & Toncoin with over a 2% jump.
USDT Liquidity Turns Negative—Warning Signal for Bitcoin?
This CryptoQuant chart tracks the 60-day change in USDT market cap alongside Bitcoin’s price. Historically, strong expansions in USDT supply (purple area rising) have aligned with bullish Bitcoin phases, signaling fresh liquidity entering the market. Conversely, when the 60-day change flips negative, liquidity contracts—and Bitcoin tends to struggle.
Right now, the 60-day USDT market cap change has dropped to around –$3.1 billion, a level previously seen near local market bottoms in early 2023. The question mark highlights uncertainty: will this liquidity drain mark another short-term bottom or signal deeper weakness? If stablecoin inflows don’t recover soon, Bitcoin may face continued pressure before any sustainable rebound.
The Bottom Line: What to Expect Next?
The sell-off was ignited by a violent unwinding of leveraged Bitcoin positions, compounded by the Ethereum ecosystem plunging nearly 20%, significantly underperforming the broader market. The immediate path depends on Bitcoin price holding $65,000 and the total crypto market cap staying above its critical yearly low of $2.17 trillion. The next key macro catalyst is the release of daily ETF flow data, which will highlight the institutional interest.
Therefore, the next few days until the end of the monthly trade can be considered as an important phase to determine the next course of action of the crypto markets & BTC price.
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