Crypto market crash wipes $829M in longs liquidations as BTC dips below $109K, with ETH, SOL, and DOGE sliding daily.
With almost $829 million in lengthy liquidations, the larger crypto market has been under intense selling pressure as leading assets like Dogecoin (DOGE), Ethereum (ETH), Solana (SOL), and Bitcoin (BTC) have plummeted between 3 and 12% over the past day.
This occurred after the US President ousted Fed Governor Lisa D. Cook earlier today, further intensifying the Trump vs. Fed conflict.
Investors are now liquidating their holdings in the midst of all the economic concerns.
Soon After Trump Fires Fed Governor, Crypto Market Crashes
The price of Bitcoin plummeted by over 3% earlier today, falling below the $109,000 mark in a massive sell-off by investors.
This coincides with a 20% increase in daily trading volume to $90 billion and $225 million in 24-hour Bitcoin long liquidations.
Following last week’s Jackson Hole meeting, when Fed Chair Jerome Powell praised the prospect of an interest rate cut at the September FOMC meeting, Bitcoin has lost all of its gains.
According to Glassnode’s most recent research, Bitcoin is at a critical crossroads, and if it is unable to hold above it, there may be multi-month weakness and even more significant price losses.
Bitcoin is currently trading slightly above $110,800, which is the average cost basis for investors who bought during the May–July surge to all-time highs, according to the blockchain analytics business.
If this is not maintained, there may be significant corrections in the future.
Investors are tense as we approach September, usually the weakest month for the assets.
According to market analysts, investors should prepare for more suffering before the October-November rise resumes.
Crash Of Altcoins Pulls Crypto Market Down
In addition to Bitcoin, altcoins are displaying significant weakness; in the past day, leading digital assets like Ethereum (ETH), Solana (SOL), and Dogecoin (DOGE) have all corrected 7–12%.
This indicates that capital is shifting away from riskier assets, and the limited liquidity exacerbates the volatility.
The general mood of investors is waning as they get ready for a break in the upward trend, even if Ethereum is drawing institutional inflows from Bitmine, SharpLink, and Ethereum ETFs.
As bears regain control, strong pushback from important resistances has once again affected SOL, XRP, and DOGE.
Lisa Cook, Fed Governor, Is fired By Donald Trump
US President Donald Trump dismissed Fed Governor Lisa D. Cook on Monday due to uncertainty around the Fed rate drop at the September FOMC meeting.
For the first time in US history, the White House has taken action to remove a voting Fed member.
Fed Governor Cook, however, has made the decision to challenge the Trump directive in court.
Fed Governor Cook said she will not resign and that President Trump has no power to remove her.
They intend to take “whatever actions are needed to prevent” Trump’s “illegal action,” according to Fed Governor Cook’s attorney.
As investors wait for the Fed to change its monetary policy, watching how the Bitcoin and cryptocurrency markets respond will be interesting.
The current odds of a 25 basis point rate drop are 84.7%, according to data from the CME Watch Tool.
