In Brief:
- Tokens of major blockchain networks slid more than 20% in the past 24 hours.
- The slide is likely due to a risk-off event that followed the SEC’s lawsuit against Binance and Coinbase.
- Solana (SOL), polygon (MATIC), and Cardano (ADA) fell as much as 25% within hours.
- Bitcoin has managed to hold up relatively well due to its dominance in the crypto market.
- Some speculate that a major crypto fund may have sold its holdings in these tokens.
SEC Lawsuit Shocks Crypto Market
In the past 24 hours, there has been a significant drop in the value of major blockchain tokens, with losses of more than 20%. This slide is likely due to a risk-off event that followed the SEC’s lawsuit against Binance and Coinbase, in which 13 tokens were alleged to be securities.
Major Altcoins Plummeted Sharply
The bulk of the losses occurred in the early hours of Saturday, with Solana (SOL), Polygon (MATIC), and Cardano (ADA) falling as much as 25% within hours. This sudden drop has led some to speculate that a major crypto fund may have sold its holdings in these tokens, taking advantage of the illiquid market conditions.
Bitcoin Holds Up
While this news has severely hurt altcoins, Bitcoin has remained relatively unaffected. This is likely due to its dominance in the crypto market and its status as a store of value.
Speculations of Major Crypto Fund Dumping
There are speculations that a major crypto fund may have sold its holdings in these tokens, taking advantage of the illiquid market conditions. However, this is just speculation at this point, and there is no concrete evidence to support this theory.
