The cryptocurrency market faced turbulence on Friday, with Bitcoin (BTC) plunging to an intraday low of $84,717 despite the announcement of a Bitcoin strategic reserve by the US government.
The downturn also affected major altcoins, including Ethereum (ETH), Solana (SOL), and XRP, as the overall crypto market shed nearly 4% of its value.
President Donald Trump’s executive order to establish a digital asset stockpile was expected to inject confidence into the market.
However, traders reacted differently, driving BTC, ETH, and other digital assets into negative territory. With BTC futures open interest (OI) declining by 4.6% and liquidations surpassing $259 million, market sentiment remains volatile.
BTC drops below $85K as liquidations rise
Bitcoin, which had shown signs of recovery earlier in the week, reversed gains and slumped by over 4% to trade at $87,071 at the time of writing.
CoinMarketCap data indicated a 24-hour low of $84,979, raising concerns about the market’s response to regulatory developments.
Source: CoinMarketCap
Data from Coinglass revealed that Bitcoin liquidations reached $259.24 million over the past day, highlighting the level of selling pressure. BTC futures OI dropped to $48.48 billion, reflecting reduced interest from traders.
ETH, SOL, and XRP follow the drop
Ethereum declined by 6% intraday, with prices fluctuating between $2,103.47 and $2,319.40. ETH futures OI also dipped by 4.24% to $19.24 billion, while liquidations reached $72.04 million.
Source: CoinMarketCap
The coin’s market dominance stood at 9.1%, reinforcing its significant presence despite the losses.
Solana (SOL) also saw a sharp decline, dropping 5% to trade at $143. The cryptocurrency registered an intraday low of $135.72, accompanied by liquidations worth $21.67 million.
Source: CoinMarketCap
XRP followed suit, losing just over 1% to trade at $2.50, with an intraday range of $2.39 to $2.64. Ripple’s token recorded liquidations of $24.34 million, aligning with broader market trends.
Source: CoinMarketcap
Meme coins decline with the market
Meme coins mirrored the broader sell-off, with Dogecoin (DOGE) shedding nearly 5% to trade at $0.1967, while Shiba Inu (SHIB) fell over 2% to $0.00001318.
Pepe Coin (PEPE) dropped by 6% to $0.000006717, reflecting reduced investor appetite for speculative assets.
Top crypto winners and losers
Despite the downturn, some tokens bucked the trend. Movement (MOVE) led the gainers with a 5% rise to $0.4945, coinciding with increased accumulations by Trump’s World Liberty Financial.
Sui (SUI) also gained 1%, trading at $2.68 after being included in WLFI’s strategic token reserve.
Meanwhile, Ondo (ONDO) recorded the largest drop, plunging 14% to $1.02. Sonic (S) followed with a 13% loss, trading at $0.5206, while Cardano (ADA) declined by 10% to $0.8549.
Despite the recent policy announcement, the crypto market remains on edge. Traders are looking ahead to the upcoming White House crypto summit for potential regulatory clarifications that could influence market movements in the near term.
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