The collapse of Bitcoin created a ripple effect across XRP, Ethereum, and Dogecoin

• Bitcoin’s collapse triggered a cascading sell-off, leading to sharp declines across Ethereum, XRP, Dogecoin, and Solana.
• The $1.17 billion liquidations highlight market volatility, as Bitcoin’s dominance weighs on broader cryptocurrency movements.

The cryptocurrency market faced a sharp decline as Bitcoin fell 7% to $97,020, just two days after reaching a record high above $108,000. Previously, after Bitcoin collapsed below $53,500, the CNF was recently updated anticipation That BTC support level of $48,000 will be crucial.

This significant decline represents a surprising reversal of recent gains, triggering a widespread sell-off in the cryptocurrency space. CorrectionWhich began on Wednesday, shook investor confidence and set the stage for broader market turmoil. According to the Motley Fool platform:

The narrative around Bitcoin is very bullish at the moment. Smart investors understand that this has happened before. In 2013, 2017, and 2021, investors became increasingly bullish on Bitcoin right before the price collapse. Is the cryptocurrency preparing for another collapse in 2025? Let’s take a closer look at Bitcoin as we sit here in December 2024 and whether the cryptocurrency belongs in your wallet today.

Ethereum, XRP, and Dogecoin are suffering huge losses

Ethereum saw a 12% decline, with its price falling to $3,422. XRP fell 11%, trading at $2.22. Dogecoin, one of the hardest-hit assets, fell nearly 20% to roughly $0.31, erasing much of its recent momentum.

Solana also joined the decline, falling below the $200 threshold to $191, recording a 12% loss. The sell-off reflects widespread uncertainty and profit-taking among investors as the market adjusts to Bitcoin’s dramatic reversal.

Liquidations amplify market pressures

The sharp market decline led to liquidations totaling $1.17 billion over the past 24 hours, according to CoinGlass data. Bitcoin alone accounted for $241 million in liquidations, highlighting its huge impact on the broader market.

As of now, the value of BTC $96,790.06reflects A 4.40% The decline in the last day and 3.11% Decrease last week. See BTC price chart below.

No coins identified

The overall cryptocurrency market fell by 9%, based on CoinGecko data, illustrating the ripple effects of Bitcoin’s withdrawal. This wave Liquidations underscore the volatile nature of the market, as leveraged positions are resolved amid significant price corrections.

As the market navigates this turmoil, attention now turns to whether Bitcoin and other major cryptocurrencies can stabilize or face further downward pressure. The coming days will be crucial in determining the next phase of the volatile market cycle.

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