Altcoin Market Takes a Nosedive, Traders Left Crying Over $1 Billion Loss

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Well, well, well. Looks like the crypto market has decided to show its true colors. After a run of four straight weeks of green, it finally printed its first red candle, and boy, is it a doozy. The bulls might be resting, and the pullback has sparked a frenzy, with liquidations flying faster than a speeding bullet for short-term traders. Hold onto your hats, folks, it’s about to get bumpy.

So, what in the world triggered this chaos, and what’s in store for the future? Let’s dive in, shall we?

Nearly $1 Billion Liquidated as Market Cap Takes a Dive in the Final Week of July

According to the oracle of the crypto world, TradingView, the overall crypto market cap took a 5% hit this week. From a near $4 trillion, it shrunk down to $3.78 trillion. But wait, the altcoin market cap (TOTAL2) didn’t just shrink—it plummeted. A 10% drop, from $1.57 trillion to $1.4 trillion. That’s what we call a “whoops” moment.

Altcoins took the worst of the beating, falling harder than Bitcoin. As a result, short-term traders had their portfolios gutted. Coinglass reports that nearly $1 billion worth of positions got wiped out in the past 24 hours.

“In the past 24 hours, 314,302 traders found themselves liquidated. Total liquidations? A whopping $966.04 million,” Coinglass tells us. Ouch.

And the kicker? Of the nearly $1 billion that vanished into thin air, over $840 million came from long positions. That’s about 84%. So much for the traders who thought they could outsmart the market by playing with leverage and expecting prices to keep rising. Spoiler alert: it didn’t work.

CryptoBubbles, ever the mood killer, also showed that nearly all altcoins saw steep declines today, ranging from 6% to 20%. You can almost hear the sound of wallets sobbing.

Some might say this is just the first wave of profit-taking after a month of rising market caps. And they’d be right. But don’t tell that to the traders holding onto their tears.

Who’s Doing the Profit-Taking? The Answer Might Surprise You

In case you missed the memo, 10x Research has pointed out that Asian trading hours were the real MVP of this rally. While Bitcoin soared by 16% overall, a whopping 25% of that came from the Asian trading sessions. Europe (-6%) and the US (-3%)? Not so much. They were busy selling off their holdings while the Asians were popping the champagne.

Ethereum? Oh, don’t even get me started. ETH has skyrocketed by 63% in the past month—great, right? But guess what? A massive 96% of that gain came during the Asian hours. Europe (-26%) and the US (-7%) were selling off while Asia was out there celebrating like it was New Year’s Eve.

“Although some of this may be due to treasury-related news emerging after US market hours, the more likely explanation is heightened enthusiasm and aggressive buying from Asian traders,” the report wisely points out.

So, it seems like US and European traders were all about locking in those sweet profits. Funny thing, though—they were also the ones who fueled the whole crypto accumulation narrative. Talk about irony.

In a hilarious twist, Asian traders went FOMO-crazy over the news from the other side of the world, only to get burned by the same headlines they were chasing. Oh, the sweet, sweet drama of it all.

But don’t start planning the funeral for the crypto market just yet. Many analysts believe this is just a natural profit-taking phase, with the broader trend still looking up. So, chin up, everyone!

“Not concerned with the dip in alts today. It was a sensible sell-off considering how much everything has gained recently. 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,” KALEO, an investor and founder of LedgArt, boldly predicts.

Even CZ, the big boss at Binance, just shrugged and said, “It’s just a dip, folks. Relax.”

At the time of writing, the market sentiment is still firmly in “greed” territory. Despite nearly $1 billion in liquidations, there’s no sign of panic. So, hold on tight, everyone. It’s a wild ride out there. 😎💸

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2025-07-24 13:47