Dogecoin Hits Four-Month Low Amid Cryptocurrency Market Downturn
Dogecoin has fallen to a four-month low, declining nearly 8% to $0.18, as Bitcoin, XRP, and other major cryptocurrencies also experience significant losses. The decline comes after an initial price surge following President Trump’s crypto reserve announcement. Overall, the market is witnessing volatility with large liquidations in crypto futures positions totaling $276 million.
In a significant shift in the cryptocurrency market, many major coins have retraced their gains from last week. Following President Trump’s announcement regarding a “crypto reserve” to be established via executive order, coins initially experienced a surge in prices. However, a mere week later, these gains have dissipated, with Dogecoin suffering the most among the top ten coins, decreasing by nearly 8% to $0.18—its lowest level since early November.
Further data from CoinGecko reveals that Dogecoin has plummeted around 30% over the past month. The broader trend indicates a decline for all leading cryptocurrencies, with Bitcoin decreasing by approximately 4% to $83,250, retracing to levels seen last Sunday prior to the price pump. Ethereum has similarly experienced almost a 4% drop.
Other notable losses include XRP, which fell over 7% to $2.18, and Solana, down 3% to $133. Despite being mentioned by Trump, Cardano (ADA) has managed to limit its losses to nearly 7%, currently priced at $0.765, although it remains up 17% for the week due to the earlier surge triggered by the announcement.
The market turmoil has led to approximately $276 million in cryptocurrency futures positions being liquidated over the last 24 hours, with a significant proportion of these being long positions. This wave of liquidations indicates heightened volatility and uncertainty within the cryptocurrency space.
The recent fluctuations in cryptocurrency prices illustrate the volatility inherent in the market, as witnessed by the significant decline in Dogecoin and other major coins following an initial surge. The pattern indicates a broader market retraction, impacting Bitcoin, XRP, Solana, and Cardano, while illustrating the consequences of speculative trading and liquidations of futures positions. Investors are urged to exercise caution amid this turbulent phase.
Original Source: decrypt.co
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