- Bitcoin (BTC) dropped from $102,000 to $95,200, causing $127 million in liquidations.
- Meme coins like Floki Inu (FLOKI) and Bonk (BONK) fell 14%, leading a $15 billion segment loss.
- SPX6900 (SPX) defied the downturn, rising 3% and securing its spot in the top 100.
The crypto market is reeling today as Bitcoin (BTC) failed to stay above the $100,000 mark for the fifth time in a row. Within a matter of hours, the market plunged by 8.3%, with meme coins taking the biggest hit. Let’s dive into the numbers and what’s happening across the crypto landscape.
Meme Coins Plummet as Market Bleeds
January 8, 2024, marks a rough day for cryptocurrencies. Bitcoin (BTC), the market’s leading asset, tumbled from $102,000 to $95,200, wiping out 5.5% of its market cap. Over $127 million worth of Bitcoin liquidations occurred, with a whopping 86% coming from long positions.
The meme coin segment, known for its volatility, felt the pain even more acutely. Its overall capitalization dropped by $15 billion overnight. Floki Inu (FLOKI) and Bonk (BONK) led the losses, each plunging by around 14% in less than 24 hours.
Big Names Feel the Pressure
Shiba Inu (SHIB) and Dogecoin (DOGE), the two biggest meme coins, weren’t spared. SHIB fell to $0.00002148, while DOGE dropped to $0.3465 on major exchanges. AI16Z (AI16Z), which had been the star performer over the winter holidays, also took a hit, losing 13.9% and nearly dropping below a $2 billion market cap. At the time of writing, it’s trading at $1.82.
Meanwhile, XRP’s struggles continued, as its price hit a local bottom at $2.28. This allowed Tether (USDT) to reclaim its spot as the second-largest altcoin by market cap.
One Meme Coin Stands Out
Amid the chaos, one meme coin managed to buck the trend. SPX6900 (SPX), the largest “Murad meme coin,” rose by 3%, reaching $1.44 and solidifying its spot in the top 100 cryptocurrencies. This resilience is a rare sight on a day when most assets are deep in the red.
Market Sentiment Shifts
The Crypto Fear and Greed Index, a popular tool for gauging market sentiment, dropped out of the Extreme Greed Zone for the first time this year. Currently sitting at 70/100, it’s the lowest level since January 2.
Veteran trader Tone Vays, however, remains optimistic. Yesterday, he announced long positions on Bitcoin at $100,000, signaling confidence in BTC’s ability to bounce back.
What’s Next?
As the market continues to grapple with this downturn, the focus shifts to whether Bitcoin can reclaim $100,000 and how meme coins will recover. While today’s losses are sharp, the volatility isn’t surprising for seasoned investors. Keeping an eye on whale activity, broader market trends, and regulatory developments will be crucial for navigating what comes next.
