Crypto markets experienced significant liquidations over the weekend due to panic selling following U.S. military strikes on Iran's nuclear facilities, but key altcoins, including Solana (SOL), XRP, and Dogecoin (DOGE), are now rebounding. After a turbulent weekend, SOL, XRP, and DOGE, which suffered heavy losses, are beginning to recover as leveraged bets reset and spot buying increases.
In the last 24 hours, the crypto markets saw another $642 million in liquidations, adding to Saturday's $595 million, totaling over $1.2 billion in just two days. Bitcoin led the way with $230 million in liquidated bets, followed by ether at $188 million. Among the altcoins, SOL faced $28 million in liquidations, XRP accounted for $21 million, and DOGE registered over $25 million. Liquidation occurs when an exchange closes a trader’s leveraged position due to insufficient funds, often leading to market extreme conditions when prices can quickly reverse.
The sell-offs began late Saturday after confirmation of military actions by former U.S. President Trump related to Iran, but by Monday, many markets showed signs of stabilization. Bitcoin rebounded to around $101,237, while SOL edged up to about $133. XRP traded above $2, and DOGE hovered just around 15 cents. Although losses persisted on the daily chart, there are indications that opportunistic buyers are stepping in.
Analysts are noting that some tokens are recovering faster than others due to institutional interest and developments in their respective ecosystems. Eugene Cheung, Chief Commercial Officer at OSL, remarked, "While Bitcoin's volatility has been the focus after the U.S.-Iran escalation, the altcoin market is showing signs of divergent strength." Cheung pointed out that Ethereum continues to attract attention amid ETF inflows, while Solana and other Layer 1 tokens benefit from increasing developer activity and speculation regarding ETF approvals.
Others believe that the market's swift recovery reflects an expectation that geopolitical tensions will not have widespread economic repercussions. Nick Ruck, director at LVRG Research, commented, "The market is fairly optimistic that the Iran-Israeli conflict will remain muted and its economic impact will be locally contained."
Potential risks remain, particularly if the U.S. responds more aggressively to any Iranian retaliation, especially regarding disruptions in oil flows. Nonetheless, the rapid recovery may indicate that the crypto sector remains in an upward trend, with ongoing liquidations providing potential entry opportunities for traders.
In the last 24 hours, the crypto markets saw another $642 million in liquidations, adding to Saturday's $595 million, totaling over $1.2 billion in just two days. Bitcoin led the way with $230 million in liquidated bets, followed by ether at $188 million. Among the altcoins, SOL faced $28 million in liquidations, XRP accounted for $21 million, and DOGE registered over $25 million. Liquidation occurs when an exchange closes a trader’s leveraged position due to insufficient funds, often leading to market extreme conditions when prices can quickly reverse.
The sell-offs began late Saturday after confirmation of military actions by former U.S. President Trump related to Iran, but by Monday, many markets showed signs of stabilization. Bitcoin rebounded to around $101,237, while SOL edged up to about $133. XRP traded above $2, and DOGE hovered just around 15 cents. Although losses persisted on the daily chart, there are indications that opportunistic buyers are stepping in.
Analysts are noting that some tokens are recovering faster than others due to institutional interest and developments in their respective ecosystems. Eugene Cheung, Chief Commercial Officer at OSL, remarked, "While Bitcoin's volatility has been the focus after the U.S.-Iran escalation, the altcoin market is showing signs of divergent strength." Cheung pointed out that Ethereum continues to attract attention amid ETF inflows, while Solana and other Layer 1 tokens benefit from increasing developer activity and speculation regarding ETF approvals.
Others believe that the market's swift recovery reflects an expectation that geopolitical tensions will not have widespread economic repercussions. Nick Ruck, director at LVRG Research, commented, "The market is fairly optimistic that the Iran-Israeli conflict will remain muted and its economic impact will be locally contained."
Potential risks remain, particularly if the U.S. responds more aggressively to any Iranian retaliation, especially regarding disruptions in oil flows. Nonetheless, the rapid recovery may indicate that the crypto sector remains in an upward trend, with ongoing liquidations providing potential entry opportunities for traders.
