On Wednesday, the global crypto market plunged to $2.7 trillion, as Bitcoin, Ether, Dogecoin, and other cryptocurrencies saw their worst performance in months. This sharp decline triggered liquidations exceeding $700 million, according to CoinGlass.
“The cryptocurrency market has been under pressure for the past few days,” said Sergei Gorev, Head of Risk at YouHodler.
Bitcoin’s price sank to $83,883 on Wednesday afternoon, while Ether dropped to $2,307.
Bitcoin recently hit its lowest price since November 2024, while Ether reached its lowest value since September 2024.
“Ethereum’s recent decline is primarily driven by broader market sentiment,” said Ruslan Lienkha, Chief of Markets at YouHodler. “Bitcoin also experienced a nearly 10% drop over the past two days, reinforcing that this is part of a broader risk-off movement.”
Despite gaining renewed prominence under the Trump administration, the Dogecoin memecoin also tanked on Wednesday, falling over 4% to $0.20 — a significant decline from its all-time high of $0.74.
Despite this, there are positive trends on the horizon. Several altcoin exchange-traded funds (ETFs) are expected to win a greenlight this year from the U.S. Securities and Exchange Commission (SEC).
Bloomberg analysts James Seyffart and Eric Balchunas place the odds of a Dogecoin ETF at 75%, XRP ETF at 65%, and Litecoin ETF at 90% later this year. “We’re putting out relatively high odds of approval across the board,” Seyffart said.
“These developments could support higher valuations for [Bitcoin] and altcoins in the coming months,” said Lienkha. “However, the primary risk factor remains the broader macroeconomic environment. Adverse macro conditions, such as restrictive monetary policy or financial market instability, could offset positive momentum and weigh on the entire market, including crypto.”
