Crypto Market in Turmoil: Bitcoin, ETH, XRP Prices Tumble; What’s Behind the Drop?

On Monday, at approximately 08:30 UTC, a widespread selloff began in the crypto market. Within just one hour, over $90 million in crypto assets were liquidated, and in the past 24 hours, the total liquidated amount has reached $150 million.

The price of Bitcoin dropped by 3% to reach the $29,000 mark and is now hovering around $29,280. Over the past 24 hours, the lowest and highest recorded prices for BTC were $29,068 and $30,330, respectively.

The price of Ethereum also experienced a sharp decline, falling below the $1850 mark. Over the past 24 hours, ETH has dropped by more than 2% and is currently trading at $1,848. The lowest and highest prices recorded in the past 24 hours were $1,837 and $1,904, respectively.

XRP also saw a significant price drop, falling by over 3% and extending its decline to 6% over the past 24 hours. Other altcoins, including Cardano, Polygon (MATIC), and Solana, also experienced a nearly 3% drop in price. The global crypto market as a whole fell by 2.3%, with its value now standing at $1.17 trillion.

Why the Sudden Plunge in Bitcoin and Crypto Prices?

According to data from Coinglass, today, July 24th, there has been a massive liquidation of long positions worth $150 million. In the past 24 hours, more than 50,000 traders have been liquidated, with the largest single liquidation order being a BTCUSDT swap on OKX worth $2.57 million. As a result of this selloff, the wider crypto market is currently in the red.

The liquidation of long positions occurred at the same time as the launch of Worldcoin (WLD), a new token created by ChatGPT founder Sam Altman. Many traders shifted their focus to trading WLD as it was listed on major crypto exchanges such as Binance, OKX, Huobi, Bybit, and others.

In addition, after four consecutive weeks of inflows totaling more than $500 million, crypto asset funds experienced their first week of outflows.