Cryptocurrency prices took a hit, with Bitcoin, Ethereum, XRP, Dogecoin and Solana all suffering significant losses. After briefly reaching an all-time high of more than $108,000, bitcoin fell 7% to $97,000 in one day.

Ethereum fell nearly 12 percent to trade at $3,422, while XRP saw a similar decline, down 11 percent to $2.22. The popular meme coin Dogecoin fell 20% to $0.31. Solana, another major altcoin, fell below the $200 mark, down 12 percent to $191. The losses were part of a larger correction across the crypto market, with the industry as a whole down 9%.

The drop comes after Federal Reserve Chairman Jerome Powell's recent comments about the 2025 inflation forecast spooked markets. Powell's comments that inflation could be higher than expected and that interest rates could remain high for a long time led to a broad sell-off in risk assets, including cryptocurrencies.

meme coins such as Dogecoin, which are known for their sensitivity to macroeconomic news, have been particularly hard hit. The price of Dogecoin plunged 12.4 percent and trading volume surged 67 percent, indicating that holders were panicking. Despite this, Dogecoin is still one of the most valuable cryptocurrencies by market capitalization, worth $46.6 billion.

The market also saw a massive liquidation, with more than $1.2 billion worth of cryptocurrency positions liquidated in just 24 hours. Long positions accounted for the bulk of the liquidation, totaling $1.07 billion. The single liquidation order took place at Binance and was worth nearly $16 million. In addition, Binance saw outflows of $83 million, showing a general trend of selling pressure across exchanges.

Other cryptocurrencies, including XRP and Cardano, have also suffered significant losses. For example, XRP is down 10%, while Cardano is down 15.7%. These declines are part of a broader downturn affecting much of the altcoin market. meme coins such as Shiba Inu and Bonk also suffered significant losses, falling 23.3% and 22.5%, respectively.

Despite the sell-off, some altcoins are still getting attention. One notable exception is Fartcoin, a meme coin that has gained 71% in the past week and 323% this month. However, these gains are rare and the overall sentiment in the crypto market remains bearish. With Bitcoin below $100,000 and the broader market showing signs of vulnerability, analysts are keeping a close eye on further developments.