The cryptocurrency market has experienced a significant downtrend over the past 24 hours, led by Bitcoin (BTC). The leading cryptocurrency briefly dipped below $60,000 before stabilizing around $61,000 during the early European session on Tuesday. This notable drop resulted in more than $300 million in total liquidations, predominantly affecting long traders.
Will meme coins like Shiba Inu and Pepe suffer the same fate? Dive deeper to find out what’s next for the crypto market and how you can navigate the volatility.
Meme Coins Take a Hit
Amid the ongoing market correction, the valuation of meme coins has plummeted from nearly $70 billion to around $47 billion. This high level of speculation in the crypto market has heightened fears of further corrections in the coming weeks, potentially before an anticipated altseason surge.
According to the latest market data, Ethereum-based Shiba Inu (SHIB) has dropped 30 percent over the last four weeks, hovering around $0.0000173 as of Tuesday. Similarly, the frog-themed Pepe (PEPE), with a fully diluted valuation of about $4.88 billion and a daily average trading volume of approximately $939 million, has shed more than 22 percent in the past four weeks, trading at about $0.00001161.
Whales Opt for Caution
With Bitcoin’s price action suggesting further corrections, some crypto traders are choosing to stay on the sidelines. On-chain data reveals that a Shiba Inu whale address, which accumulated coins between November and December last year, has deposited its holdings worth around $18.12 million into Binance.
Additionally, another whale deposited 700 billion PEPE, valued at over $7.8 million, into Binance and currently holds around 800 billion PEPE.
Understanding the Market Sentiment
Despite the accelerated market downturn, popular crypto analyst Ali Martinez predicts a strong rebound in the coming days. There is a growing call among investors to buy the dip, anticipating a market recovery in the near term.
Is this the buying opportunity you’ve been waiting for, or the calm before another storm?
Also Read: Are Altcoins Doomed as Bitcoin Targets $100,000? New Market Insights and Data
