But the pain is even more acute on the altcoin side. Ethereum<\/a> (ETH)<\/strong>, the leader in smart contracts, suffered a severe 6% correction, breaking its major support at $3,000<\/strong>. A drop that undermines confidence in DeFi and NFTs in the short term. Other heavyweights like XRP<\/a><\/strong>, Solana<\/a> (SOL)<\/strong>, TRON<\/a><\/strong>, and Monero<\/strong> were not spared, recording average losses of 4%.<\/p>\n\n\n\n This massive retracement<\/strong> movement comes as investor sentiment has turned to extreme caution with Trump’s new tariffs. The Fear & Greed Index, which was flirting with euphoria in recent weeks, is showing signs of nervousness. Selling volumes are accelerating, suggesting that “weak hands” are capitulating in the face of selling pressure.<\/p>\n\n\n\n The price drop is only the tip of the iceberg. Behind the scenes, it’s the derivatives market that has ignited the powder keg. A cascade of liquidations has hit traders overexposed to the upside (Long squeeze<\/strong>). When Bitcoin lost the $90,000<\/strong> level earlier this week, thousands of leveraged positions were automatically liquidated, creating a snowball effect that pushed the price down to $88,000<\/strong>. In total, more than $1 billion<\/strong> has been liquidated in the last 24 hours.<\/p>\n\n\n This cleanup of Open Interest is often necessary to cleanse the market after an intense rally<\/strong> phase. However, the violence of the movement on Ethereum is concerning. Losing $3,000 opens the door to tests of lower support levels, potentially toward $2,800<\/strong> if buyers don’t quickly step up to defend the zone.<\/p>\n\n\n\n On-chain data also shows whale movements toward exchanges, a potential sign of profit-taking or hedging in the face of current macroeconomic uncertainty. The market appears to be in “risk-off” mode, waiting for a catalyst to choose its next direction.<\/p>\n\n\n\n The question burning on every investor’s lips this morning is simple: is this the time to buy the dip? Historically, 20 to 30% corrections during a Bull run<\/strong> are not only common, but healthy.<\/p>\n\n\n\nCascading Liquidations: Are Longs Capitulating Too Quickly?<\/h2>\n\n\n\n
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Bitcoin at $88,000: Golden Opportunity or Deeper Drop?<\/h2>\n\n\n\n