coindesk.com
The crypto market turned red over the weekend, with Dogecoin (DOGE), Cardano’s ADA, and XRP each dropping over 7% as profit-taking set in after a strong week.
Bitcoin fell from a daily high of $111,200 to just over $107,000 on Friday, causing a swift change in sentiment. The drop came as President Donald Trump revived fears of a tariff war with the European Union — threatening a 50% levy as talks were “going nowhere.”
Market cap shed 5% and the broad-based CoinDesk 20 (CD20), a liquid index tracking the largest tokens, fell 2.2% as traders moved to lock in gains amid rising volatility.
The move comes despite bitcoin touching fresh highs above $111,500 just days earlier, with ETF inflows, stablecoin legislation, and institutional buying supporting its rally. But those same tailwinds haven’t kept altcoins afloat in the short term.
“Bitcoin reaching a new all-time high also carries altcoins toward a bullish direction,” said Haiyang Ru, co-CEO of HashKey Group, said in a Telegram message. “But if $BTC’s volatility picks up again, traders may rotate into regulated stablecoins — especially with new frameworks in the U.S. and Hong Kong easing that transition.”
Alex Kuptsikevich, chief analyst at FxPro, crypto sentiment recently hit levels last seen in January, just as $BTC and ETH reached critical resistance zones. “Unlike previous BTCUSD rallies, the current movement is not just momentum-driven but backed by real demand and macro factors,” he noted.
Still, markets are showing signs of fatigue. Ethereum is struggling to break past its 200-day moving average near $2,650, while altcoins that previously surged — such as HYPE and EIGEN — are now cooling off after double-digit gains.
Analysts warn that if $BTC doesn’t establish a new support zone, altcoin losses could deepen.
For now, the weekend pullback displays the fragility of rallies in low-liquidity conditions and the speed at which sentiment can turn.