SOL, XRP, and DOGE Show Recovery After $1 Billion Liquidation
Crypto markets are rebounding after panic selling caused by U.S. military strikes on Iran’s nuclear facilities, leading to over $1.2 billion in liquidations over the weekend.
Market Overview
- Last 24 hours saw an additional $642 million in liquidations following $595 million on Saturday.
- Bitcoin faced the largest losses with $230 million in liquidated positions, followed by ether at $188 million.
- Solana experienced $28 million, XRP $21 million, and Dogecoin over $25 million in liquidations.
Liquidation occurs when exchanges close a trader's leveraged position due to insufficient margin. Such events indicate market extremes, often signaling potential price reversals. The sell-off began after confirmation of strikes on Iran's uranium sites.
By Monday, prices showed signs of recovery:
- Bitcoin $101,237
- Ether near $2,236
- Solana $133
- XRP above $2
- Dogecoin around 15 cents
Altcoin Resilience
Despite Bitcoin's volatility, altcoins are displaying strength. Ethereum is attracting institutional interest amid ETF inflows, while Solana benefits from improved network activity and developer adoption.
Analysts suggest that the geopolitical situation may remain localized, limiting broader economic impacts. However, risks persist, including potential U.S. military responses and disruptions to oil flows through the Strait of Hormuz.
The swift recovery indicates a macro uptrend for crypto, with liquidations potentially serving as entry points for investors.