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- Anjali Belgaumkar
Anjali Belgaumkar
Writer by choice, CryptoCurrency Writer, and Researcher by chance. Currently, focusing on financial news and analysis, as well as cryptocurrency news and data. One may not call me a crypto “Enthusiast” but trust me I'm getting there.
- Reviewed by:
Qadir AK
Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.
- Jul 24, 2025 04:12 UTC
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Why is the Crypto Market Going Down Today?
Over $634B in crypto derivatives liquidated in 24 hours, triggering market-wide dip as altcoins like XRP, SOL, and ADA plunge over 5%.
Bitcoin dominance drops 5.4% in 30 days, altcoin season stalls with index at 43. Market correction seen as healthy after strong rallies.
The crypto market is experiencing a dip today, and many are wondering what’s behind the sudden bearish shift. From large-scale liquidations to shifts in Bitcoin dominance, several factors are contributing to this market-wide correction.
Bitcoin is currently trading at $118,514, showing a mild 0.11% gain in the past 24 hours and a 0.35% gain over the past week. Ethereum, on the other hand, is doing much better with a price of $3,644, dropping 2.23% in the last day.. XRP is down 8.53% in the last 24 hours. Solana has also dipped more than 5%, now trading at $190.03. DOGE, ADA and XLM have also dropped by more than 7% in the last 24 hours.
Why The Sudden Shift?
To start with, the total market capitalization of all cryptocurrencies currently stands at $3.88 trillion, which is down by 1.4% in the last 24 hours. One of the biggest reasons behind this drop is the unwinding of crypto derivatives.
Over $634 billion worth of open interest in futures and options was liquidated in just one day, marking an 11% decline in the derivatives market.
Another factor is the decline in Bitcoin’s dominance. Over the past 30 days, Bitcoin’s market share has dropped by 5.4%. However, in the last week, it has found some stability around 60.88%. This means less capital is flowing into altcoins.
Despite these individual gains, the overall crypto market is still cooling off. According to the Altcoin Season Index, which is currently at 43 out of 100, the market is not yet in what’s called a true altcoin season. For that to happen, the index needs to climb above 75.
So, is this the start of a larger correction? Not necessarily. What the market is seeing right now appears to be a healthy and expected pullback after weeks of strong bullish rallies. These kinds of dips are common in the crypto world and often offer new entry points for long-term investors.
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FAQs
Over $634 billion in futures and options were liquidated in one day, triggering a sharp market correction.
No, it’s seen as a healthy correction after strong rallies—common in volatile crypto markets.
The Altcoin Season Index is at 43. A true altcoin season requires a score above 75.
Yes 
No 
