The crypto market has entered one of its steepest sell-offs in months, erasing over $90 billion in market value within just one hour and triggering more than $1.3 billion in liquidations as leveraged positions were wiped out across exchanges.

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Bitcoin (BTC) plummeted below $105,000, extending a sharp correction that began late last week, while major altcoins such as Ethereum (ETH), Solana (SOL), and XRP followed suit with double-digit losses.

Fed’s Hawkish Stance Sparks Risk-Off Panic

The latest crash stems largely from renewed Federal Reserve hawkishness that reignited fears across global risk markets.

Despite cutting rates by 25 basis points in October, Fed Chair Jerome Powell signaled that further rate cuts are not guaranteed, stressing that inflation remains “on the wrong path.” His remarks strengthened the U.S. dollar and sent shockwaves through speculative assets, including cryptocurrencies.

Adding to the pressure, the U.S. Dollar Index (DXY) surged to over 100, its highest level since August. Analysts noted that the move triggered technical selling as Bitcoin lost its critical $110,000 and $106,000 support zones. Institutional investors began offloading positions through U.S. spot Bitcoin ETFs, amplifying the downtrend.

Mass Liquidations Wipe Out Over 300,000 Traders

According to data from CoinGlass, total liquidations exceeded $1.37 billion in 24 hours, with long positions accounting for nearly 90% of the total.

Bitcoin led the way with over $396 million in liquidated assets, followed closely by Ethereum at $368 million. The largest single liquidation event occurred on HTX Exchange, where a $47.8 million BTC-USDT long position was closed out.

The Crypto Fear and Greed Index has fallen to 21, deep in “Extreme Fear” territory. More than 327,000 traders have been wiped out in the past day, a figure reminiscent of the October 11 flash crash, when 1.6 million traders faced similar losses.

Altcoins Bear the Brunt as Market Cap Sinks

Altcoins faced heavier losses than Bitcoin amid thin liquidity and cascading sell orders. Solana (SOL) dropped below $160, down 8%, while Ethereum slipped 5% to $3,500. XRP and Cardano (ADA) also tumbled over 5.5%. The total crypto market cap has shrunk below $3.5 trillion, its lowest level since July.

Related Reading: From Greed To Terror: Bitcoin’s Fall Below $104K Sparks Extreme Fear

Market analysts see the correction as a “healthy reset” after months of aggressive rallies. However, if Bitcoin breaks below the $100,000 psychological support, experts warn of an additional 5–8% downside across the broader market. For now, traders are bracing for heightened volatility as the crypto storm intensifies.

Cover image from ChatGPT, BTCUSD chart from Tradingview

Privacy-focused cryptocurrencies, such as Monero, are roaring back, with the total market capitalization of these coins surpassing the $62 billion mark for the first time since 2021.

Leading the charge are Dash (DASH) and Zcash (ZEC), which have soared 75% and 21%, respectively, in the past 24 hours, according to CoinGecko. Their weekly gains of over 200% for Dash and 45% for Zcash reflect the sector’s renewed momentum even as Bitcoin slipped below $105,000.

Data from Artemis reveals that privacy coins have outperformed the broader crypto market, delivering nearly 80% monthly returns, while Bitcoin and Ethereum struggled amid a broader market correction. Analysts attribute this surge to a rising preference for transactional anonymity and self-custody.

Monero (XMR) Poised for Breakout

With Dash and Zcash dominating headlines, attention is now shifting to Monero (XMR), which has long been regarded as the gold standard for privacy in the crypto space.

Monero rebounded from its $339 support level, triggering buy orders and renewed interest from both retail traders and privacy advocates. Currently priced around $346.56, XMR is up 1.48% daily with trading volume surging 38% to $230.96 million, signaling strong buyer conviction.

Technical indicators paint a cautiously bullish picture: the RSI at 59.7 suggests healthy momentum, while a positive MACD histogram (+1.53) supports a potential move toward the $361 resistance level.

Analysts warn, however, that a break below $339 could expose the coin to downside risk near $320. Sustained volume above $226 million is seen as key to validating any breakout attempt.

The Return of Privacy in Crypto

The revival of privacy coins signals a deeper narrative shift within the cryptocurrency ecosystem. As compliance frameworks become stricter, investors appear to be rediscovering the core ethos of decentralization and privacy.

Monero’s stability in network essentials, such as rising hashrate and shielded transaction adoption, cements its position as a frontrunner in this comeback story. Industry analysts suggest that if current momentum continues, Monero could reclaim its dominance and push the privacy sector’s valuation even higher.

In a market dominated by regulation and surveillance, privacy coins like Monero, Zcash, and Dash are demonstrating that financial anonymity remains a need in the blockchain future.

Cover image from ChatGPT, XMRUSD chart from Tradingview