Crypto Crash: $1B Liquidations as Bitcoin, Ethereum Plunge

The cryptocurrency market experienced a significant selloff on Tuesday, with major digital assets witnessing substantial losses. Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) were among the hardest hit, with the global cryptocurrency market cap tumbling nearly 10% to $2.76 trillion.

Bitcoin, the flagship cryptocurrency, dropped to the $84,000 level, reversing its recent rally. The coin fell nearly 10% on Tuesday, trading at $84,000 after reaching an intraday low of $82,467.24. Despite the losses, Bitcoin's dominance in the market rose slightly to 60.40%, indicating that alternative cryptocurrencies faced even greater selling pressure.

Ethereum, the second-largest cryptocurrency by market capitalization, plunged 15% in the past 24 hours, sinking to $2,103. The coin's market share declined to 9.1% as nearly $210 million worth of ETH positions were liquidated. XRP and Solana faced even steeper declines, with XRP losing 18% and Solana nosediving 20%.

The crash coincided with over $1 billion in liquidations across the crypto sector, with analysts pointing to liquidity gaps and broader market pressures. Data from Coinglass confirmed that total liquidations in the crypto market surpassed $1 billion in the last 24 hours, contributing to the price instability. Bitcoin alone accounted for $396.16 million of these liquidations, with Ethereum following at $209.58 million.

The downturn extended to meme coins as well, with Dogecoin (DOGE) shedding 15% to trade at $0.1917. Shiba Inu (SHIB) and Pepe Coin (PEPE) also declined by 13% and 18%, respectively. DOGE saw more than $20 million in liquidations, reinforcing the broader selloff trend in riskier crypto assets.

Traders remain cautious about further downside risks, as liquidations still weigh on prices and liquidity gaps remain a concern. The latest crypto market slump underscores the sector's ongoing volatility, even as institutional interest and regulatory discussions gain traction. While Trump's