Crypto market update: Bitcoin tumbles amid liquidations while Ethereum and Solana rebound

Bitcoin (BTC) tumbled below $86,000 in intraday trading, triggering a wave of liquidations as investors reacted to market volatility.

Meanwhile, altcoins staged a notable recovery, with Ethereum (ETH) nearing $2,500 and Solana (SOL) surging 5%.

Meme coins, including Dogecoin (DOGE) and Shiba Inu (SHIB), also saw gains, contrasting Bitcoin’s downward momentum.

The broader crypto market cap shed 1.6% in the past 24 hours, falling to $2.94 trillion, with total liquidations exceeding $1 billion.

Bitcoin dips amid heavy liquidations

At press time, Bitcoin was trading at $88,4687, down over 3% on the day, after hitting a low of $86,008.

The flagship cryptocurrency faced significant selling pressure, with over $588 million in BTC liquidations recorded in the past 24 hours, according to Coinglass.

Bitcoin’s dominance in the market slipped by 1.41% to 60.02%, suggesting a shift in investor focus toward altcoins.

Whale activity has surged, with Bitcoin whales unloading over $1.2 billion in the past week.

The cryptocurrency’s decline has been largely driven by deteriorating macroeconomic conditions.

Global markets have been rattled by Donald Trump’s proposed tariffs on Canada and Mexico, fueling inflation fears and concerns over economic stagnation.

At the same time, escalating US-China tensions—particularly over semiconductor trade restrictions—have further dampened risk appetite.

Traditional markets have also taken a hit, with the Nasdaq Composite dropping 2.8% and the S&P 500 sliding 2.1%.

Meanwhile, a strengthening US Dollar Index signals a shift toward safer assets, adding pressure on Bitcoin and other risk-sensitive investments.

Ethereum nears $2,500 as altcoins gain ground

Ethereum (ETH) showed resilience despite Bitcoin’s decline, rising marginally by 0.13% to trade at $2,489.

The second-largest cryptocurrency saw a 24-hour range between $2,326 and $2,529, with liquidations totaling $178 million.

Ripple’s XRP climbed 2%, reaching $2.31 after touching a low of $2.08 earlier in the day.

The asset saw liquidations worth $38 million in the past 24 hours.

Meanwhile, Solana (SOL) led the rally among major altcoins, jumping 5% to $143.56.

The crypto hit a daily high of $146.74, with total liquidations amounting to $48.25 million.

Solana has recorded its steepest monthly decline since the FTX collapse in November 2022, tumbling 38% over the past 30 days.

A sharp drop in memecoin trading activity—once a key driver of Solana’s on-chain volume—has played a significant role in the downturn.

Meme coins bounce back

Meme cryptocurrencies followed the broader altcoin trend, with Dogecoin (DOGE) gaining 1% to trade at $0.2118.

Shiba Inu (SHIB) climbed over 4% to reach $0.00001432, while Pepe Coin (PEPE) surged 6.5% to hit $0.000008358.

However, PolitiFi-linked tokens, including the Official TRUMP token, remained under pressure amid waning investor confidence.

Among top-performing cryptos, Maker (MKR) surged 21% to $1,680.5, while Celestia (TIA) and Story (IP) gained 16% each.

On the losing side, Raydium (RAY) plunged 15% to $2.53, followed by Bitget Token (BGB) (-7%) and TRON (TRX) (-5%).

As volatility grips the market, investors remain cautious about Bitcoin’s next move while altcoins capitalize on shifting sentiment.

Will BTC recover above $90K, or are altcoins leading the charge in the next market cycle?

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