Bitcoin News Today: Altcoin Market Cap Dives 10% as $840M Liquidations Triggered by Profit-Taking Global Trading Shifts

The cryptocurrency market experienced a notable correction on July 24, 2025, as the altcoin segment faced a nearly 10% drop in market capitalization, triggering over $840 million in liquidations of leveraged long positions. The decline, which brought the altcoin market cap down to $1.4 trillion from $1.57 trillion, outpaced Bitcoin’s more subdued price movement. Coinglass reported that the sharp sell-off led to nearly $1 billion in liquidations within 24 hours, with the majority attributed to traders who had bet on continued price gains [1]. The correction marked the first red weekly candle for the crypto market in over a month, following four consecutive weeks of bullish momentum.

The regional dynamics of the trade were telling. Asian trading hours had previously driven much of the market’s upward momentum, with Bitcoin and Ethereum posting outsized gains during these sessions. Bitcoin’s 16% monthly rise was largely attributable to a 25% surge during Asian hours, while Ethereum saw 96% of its 63% monthly gains occur in the same window. However, traders in the U.S. and Europe reversed the trend, locking in profits through net selling of -6% and -3%, respectively. This shift highlighted a feedback loop: Asian buyers reacted to positive news from Western markets, only to face a pullback as those traders took gains [2].

Despite the turbulence, analysts characterized the move as a "healthy correction" rather than a sign of a broader bearish reversal. Market sentiment, while shaken, remained in "greed" territory, indicating sustained investor optimism. KALEO, founder of LedgArt, dismissed concerns about the dip, noting, "The most important thing is BTC held strong. Alts will bounce soon enough—likely even harder than their last leg up. Patience pays. Be more bullish." Binance founder Changpeng Zhao (CZ) echoed this view, describing the pullback as "a dip again," reinforcing confidence in the ongoing bullish trend [3].

The correction disproportionately impacted smaller-cap altcoins, with some tokens plummeting over 20% in a single day. Internet Computer (ICP) fell nearly 4.85%, reflecting broader risk-off behavior as traders reassessed exposure [4]. Whale activity, however, suggested a different narrative: large wallets appeared to accumulate Bitcoin during the dip, signaling potential long-term confidence in the asset class. Technical indicators also pointed to a consolidation phase rather than a structural breakdown, with Bitcoin maintaining its dominance in market capitalization despite the pullback.

Market observers emphasized that the correction was internally driven, lacking external catalysts such as regulatory changes or macroeconomic shocks. Instead, the sell-off was attributed to profit-taking after extended gains, particularly in altcoins. This aligns with historical patterns in crypto cycles, where sharp corrections often precede renewed bullish phases if macroeconomic conditions and regulatory clarity remain favorable. The interplay between Asian and Western traders underscored the global, interconnected nature of the crypto market, where regional dynamics can amplify volatility but also create opportunities for rebalancing.

As the market digested the correction, analysts advised investors to maintain a long-term perspective. The event served as a reminder of the risks inherent in leveraged trading, particularly during periods of rapid price swings. While the pullback tested short-term resilience, the broader narrative of crypto’s growth trajectory appeared intact—provided market participants adhered to disciplined risk management.

Sources:

[1] [Bitcoin Sees Moderate Pullback Amid Nearly $1 Billion Altcoin Liquidations, Analysts Suggest Healthy Correction](https://en.coinotag.com/bitcoin-sees-moderate-pullback-amid-nearly-1-billion-altcoin-liquidations-analysts-suggest-healthy-correction/)

[2] [Crypto Pullback: Unraveling The Market's Sudden Plunge](https://bitcoinworld.co.in/crypto-pullback-market-plunge/)

[3] [Elliott Wave — Trading Ideas on TradingView](https://www.tradingview.com/ideas/elliottwaves/)

[4] [Internet Computer has dropped 4.85% as volume...](https://www.mitrade.com/insights/news/live-news/article-3-978372-20250723)