Dogecoin Tumbles Hardest as Traders Cash Out Post-Bitcoin ATH Frenzy
Meme coin bleeds while Bitcoin euphoria fades
Dogecoin—the internet's favorite joke-turned-asset—is leading today's crypto selloff as traders lock in profits following Bitcoin's latest all-time high. The Shiba Inu-themed token dropped harder than major peers, proving once again that in crypto, even the dogs get slaughtered when Wall Street types start 'rebalancing.'
Profit-taking wave hits altcoins
With Bitcoin's champagne-popping ATH party over, the hangover hits hardest for speculative assets. DOGE's disproportionate plunge shows how quickly 'number go up' mentality reverses when traders smell blood. Classic crypto volatility—where 20% dips count as a 'healthy correction' and your portfolio either moons or gets rekt.
Just another day in the casino
While Bitcoin maximalists shrug (again), the DOGE dump serves as a reminder: in a market where fundamentals are an inside joke, technical analysis is just astrology for finance bros. The only real pattern? Whales pump, retail FOMOs, then everyone acts shocked when the house wins. Welcome to digital asset roulette—where the bullets are Tether prints and the barrel's always spinning.
“Healthy profit-taking”
The market correction comes after bitcoin completed its strongest weekly performance since May, prompting what analysts describe as “healthy profit-taking” rather than a shift in market sentiment.
“While the rally is experiencing a short-term pause, market volume and demand reinforce the possibility of the bullish market move continuing, especially if the ongoing “Crypto week” leads to the adoption of Pro-crypto policies and macroeconomic conditions continue to trend favorably,” Shawn Young, chief analyst at crypto exchange MEXC, told Decrypt.
The downturn triggered a brutal liquidation event totaling $463.1 million, with bullish positions accounting for $385 million of the losses.
Bitcoin alone saw $140 million in liquidated long positions as prices tumbled from NEAR $123,000 to $117,000 in the last 24 hours, according to Coinglass data.
Where next for Bitcoin?
The current price action represents a "classic breakout-pullback sequence," setting up for a potential renewed attempt to breach and sustain above $123,000,” Young said.
Paul Howard, senior director at crypto trading firm Wincent, told Decrypt that "following any 2 to 3 standard deviation price MOVE as seen over the weekend, we can almost guarantee mean reversion."
He expects profit-taking to move Bitcoin back to a “$110,000-$115,000 range” while noting new support levels have been established.
However, Howard warned that the next altcoin season will be "very different," with institutional-grade assets like ETH, SOL, and BNB expected to perform well.
Nansen research analyst Nicolai Søndergaard also said the pullback was "expected" after running "quite hot," particularly as investors remain uncertain about upcoming inflation data.
"When BTC dips, other tokens usually dip even more, which has been the expected and continuously observed behaviour in the crypto market," he told Decrypt.
Søndergaard pointed to "quite some heavy liquidation levels around $116.3k" as an immediate psychological level to watch, adding that outcomes around CPI data vary depending on sources, with some platforms suggesting inflation could decrease while traditional sources expect it to remain flat or rise.
Despite the correction, market participants remain optimistic about Bitcoin's long-term trajectory.
At the time of writing, on prediction markets platform Myriad, developed by Decrypt’s parent company DASTAN, 89.4% of users expect Bitcoin to remain above $100,000 throughout July, up from 60% just last week.
