The cryptocurrency market suffered a sharp downturn on January 27, 2025, as Bitcoin (BTC) plunged below the critical $100,000 threshold, closing at $98,528—a 5.7% drop in just 24 hours. The sell-off sent shockwaves through the market, erasing gains for major altcoins like Solana (SOL), Ripple’s XRP, Dogecoin (DOGE), and Cardano (ADA), all of which experienced losses exceeding 10%.

Market Carnage Sparks Panic Liquidation

The abrupt decline triggered a wave of liquidations, with over $864 million wiped from leveraged positions across 316,000 traders. Long-position holders bore the brunt of the downturn, losing $247 million as Bitcoin’s price…