News View Non-AMP

Why did the Crypto Market Crash? What Next For Bitcoin and Altcoins?

Published by
Zameer Attar

The already volatile crypto market faced a significant downturn today leaving investors and market analysts wondering what could be the possible reason behind this dip leaving investors and enthusiasts pondering the underlying causes behind the sudden dip. 

With Bitcoin being the leading cryptocurrency having surged over $73000, it faced a notable drop from its all-time high.

Unveiling the Top Reasons for the Market Plunge

Liquidation Issues

The first reason that could be the probable reason is the liquidation issues. The crypto landscape was rattled by substantial liquidation issues, with Bitcoin, Ethereum, and Solana bearing the brunt. 

Coinglass data unveiled that $246.66 million worth of Bitcoins were liquidated and long-term traders fueled over $666 million worth of crypto liquidations. A notable liquidation was the significant $13.3 million sell-off on the OKX-BTC-USDT-SWAP platform.

Balancing the Crypto Market

Following the two weeks of crypto market surge with Bitcoin, dogwifhat (WIF) and other altcoins rising significantly and setting new records, presently the crypto market has experienced a ‘natural correction.’ Analysts like Captain Faibik foresee this correction as a precursor to Bitcoin’s halving, predicting a temporary dip before aiming for another all-time high.

Panic Selling

The tremendous surge in the crypto market marked in the previous couple of weeks has led investors and traders to what is called ‘panic selling’ to gain maximum profits from the resurgence. Investors and traders are having FOMO of missing out on the profits at the highest and optimal prices. 

Analyzing Bitcoin’s Plunge

Bitcoin, the leader of the crypto market, plunged, following the downfall of the broader crypto market. 

It is believed that factors such as speculations regarding the U.S. Federal Reserve’s interest rate cuts, CPI data release, PPI data release, and the impending Bitcoin halving have commemoratively resulted in the sudden fall of Bitcoin’s price. 

Bitcoin’s sudden fall resulted in the wiping out of over $100 million in Bitcoin long positions.

Amidst the market turbulence, analysts offer divergent perspectives on Bitcoin’s trajectory. While many analysts believe the sudden dip acted as a natural correction, stopping from forming a crypto bubble, the exact reasons remain unclear. However, speculations suggest that most analysts believe, the main reason is liquidation in order to gain profits. 

Zameer Attar

Zameer is a financial analyst and writer with a particular interest in cryptocurrency markets. He has been studying cryptocurrencies and their market behavior for several years and deeply understands the factors that affect the price of cryptocurrencies. His expertise lies in his ability to use both technical and fundamental analysis to make informed predictions about the future direction of cryptocurrency prices. He has a strong understanding of market sentiment and uses this to inform his trading decisions and price predictions.

Recent Posts

XRP Price Prediction For July 27

XRP is taking a breather after a volatile few weeks. Despite a sharp rally followed…

July 27, 2025

Bitcoin, Ethereum, XRP Price Prediction for Next Week (28th July – 2nd Aug 2025)

The crypto market continues to gain traction, adding 0.76% to reach a $3.89 trillion market…

July 27, 2025

Crypto News Today: Bitcoin Eyes $132K After Holding Above $118K

Bitcoin is holding steady above $118,000 despite the recent ups and downs in the market.…

July 27, 2025

Can XRP Price Hit Four Digits in 2025?

Could XRP really reach $1,000? While this may sound far-fetched to many, Jake Claver, director…

July 27, 2025

XRP, Sui, and Pudgy Penguins Set to Hit New All-Time Highs Next Week: Top Altcoins to Watch

The crypto market is starting to go more mainstream, especially after the new GENIUS Act…

July 27, 2025

Crypto Regulations in the USA 2025

The US crypto regulation has changed dramatically in 2025, with the Trump administration adopting a…

July 26, 2025