Altcoins WIF, BONK, RUNE and JUP drop 10% as Bitcoin recedes 4%

Altcoins dogwifhat, Bonk, THORChain, and Jupiter are all down over 10% as Bitcoin is down 4% in the last 24 hours.

After a relatively calm period yesterday, July 31, Bitcoin’s (BTC) price action took a dramatic turn as the cryptocurrency dropped more than $3,500, dropping its value to $63,300. At the same time, altcoins also mirrored this trend, with the total value of liquidated positions rising to nearly $225 million during the day.

Initially, the week started on a high note for Bitcoin, climbing to its highest point since early June, reaching $70,000. However, this peak was short-lived as it quickly rejected, leading to a significant drop as Bitcoin dropped below the $65,500 level.

The cryptocurrency managed to regain some stability, trading quietly at around $66,800. However, following a press conference by Federal Reserve Chair Jerome Powell, Bitcoin’s value fell again to $64,300, a drop of over 3% in 24 hours.

BTC 24-hour price chart | Source: crypto.news

The setback coincided with a New York Times report that Iran had called for retaliation against Israel following the killing of Hamas leader Ismail Haniyeh in Tehran, raising the potential for further escalation of regional conflict.

Meanwhile, on the economic front, the Federal Reserve decided to keep its benchmark interest rate on hold, offering little insight into an expected September rate cut. Powell also hinted that there was a growing consensus on the possibility of a cut, although no concrete decision had been made on the September adjustment.

Amid the Bitcoin drop, altcoins have suffered even more significant losses. For example, dogwifhat (WIF) saw a 12.4% drop and (BONK) saw a 10% drop. Other altcoins like THORChain (RUNE) also dropped 10%, while Jupiter (JUP) and Ethereum Name Service (ENS) dropped 8% and 9%, respectively.

Among cryptocurrencies with large market caps, the biggest losers were Solana (SOL) with an 8% drop, (XRP) with a 6% drop, Cardano (ADA) with a 4% drop, and Ethereum (ETH) and Dogecoin (DOGE) with a 4.4% drop.

Data from CoinGlass shows that around 67,000 traders have been negatively impacted by this increased volatility. BTC positions saw $61.85 million in liquidations, while ETH positions faced $61 million. In total, the value of liquidated positions was $225.4 million at the time of writing.