Last week, remarkable mobility was observed in the crypto currency market. Bitcoin (BTC) $116,780.90 While the price only experienced a limited decline, the other large crypto currencies suffered sharper value. The leading digital assets such as XRP, Doge and Solana (left), which recently rise, fell by about 5 percent in the last 24 hours.
FAST VALUE LOSS IN ALTcoins
The recovery expectations in the crypto market were shaken by serious decreases on a weekly basis in large subcoins. According to the figures announced by the data platforms, XRP and Dogge have lost about 18 percent since the summit reached on Wednesday and the left depreciated by 12 percent. The Coindesk 80 index, which follows medium -sized coins, fell by 10 percent of the highest weekly level. Bitcoin fell to $ 116,000 with a 3 percent decrease in the 120,000 dollars in the middle of the week.
Ethereum $3,738.72Ether (ETH), the crypto presence of the crypto, is traded 4 percent below the weekly summit. This relative stability in ETH price, especially in the wallets of crypto currency strategy companies were caused by stable accumulations carried out. Crypto investors’ application – the reason will surprise you!
Did the Altcoin season end?
In recent weeks, especially the capital flow of smaller tokens ‘Altcoin season’ had initiated debates. In the crypto money markets, market analysts call the periods of the leading digital assets of relatively risky and small projects as “Altcoin Season ..
Coings’ Altcoin season index, at the beginning of the week at the level of 59, Friday fell to 41. This stands out as the highest value following the short -term speculative rise in crypto markets in January. This decline in the index indicates that the power of the Altcoin season has been tested.
Leveraged transactions and market health
David Duong, Head of Coinbase Research Department, stressed that since April, the total Altcoin market has almost doubled. However, without this week’s withdrawal, the use of leverage in Altcoin derivative transactions was held responsible. The report included the following statements:
“Excessive leverage use of investors led to rapid depreciation in the Altcoin market.” – David Duong, Coinbase Research
Altcoin open position domination indicator rose to 1.6. It was reminded that this level also pointed to the previous market concussions. According to the indicator, the decrease in leverage ratios can provide a healthy balancing in the Altcoin market.
In addition, the rate of “Bitcoin domination” in the crypto market is closely monitored. This ratio, which shows Bitcoin’s share in the total crypto currency market, landed in January 2025 for the first time below the 200 -day moving average, then again. David Duong, who wrote the report, made the following assessment:
“A permanent movement below the 200 -day average may be an important sign that shows that the Altcoin season gains strength.” – David Duong, Coinbase Research
However, Duong shared the opinion that investors should be more cautious and that they would be a safer strategy to expect to take positions after different closing.
The current developments are considered as a sign that fluctuating and risks may continue in the short term in the crypto market. In the mobility in the crypto market, especially high leveraged processes and volume fluctuations play an important role. Whether the Altcoin season will continue may vary depending on Bitcoin’s market domination and the risk appetite of investors. For this reason, investors who will make transactions in the crypto market should closely monitor the existing indices and indicators and be careful about risk -increasing elements such as leverage.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.