A crypto crash is underway today, Nov. 4, as investors remain on the sidelines, liquidations have jumped, and open interest has dropped. Bitcoin price fell below the crucial support at $106,000, while the market capitalization of all cryptocurrencies dropped by over 4% in the last 24 hours to $3.6 billion.
Crypto Crash Today Happened as Fear Remained
Top meme coins were in the red, with Dogecoin plunging 45% from its September high to $0.1667. Shiba Inu price fell to $0.0000091, while Pepe Coin dropped below the key support at $0.0000059, its lowest level since October 11.
Some of the other top laggards in the crypto market included Bitget Token (BGB), Aster, Aptos, Optimism, and Cosmos, which tumbled by over 15% in the last 24 hours.
The main reason the crypto market crashed even as the stock market jumped is that investors remain fearful of buying, as memories of last month’s liquidations linger.
As a result, the Crypto Fear and Greed Index has plunged to the fear zone of 35, a sign that investors are highly cautious about opening new trades. Besides, liquidations have continued to rise this month, with the 24-hour figure up 686% to over $1.29 billion.
More than 334,000 traders were liquidated recently, including one individual who suffered a significant loss of over $33 million in a failed Bitcoin trade. In the last 24 hours alone, Ethereum positions worth over $329 million were liquidated, while Bitcoin trades totaling more than $324 million were closed. Additionally, Dogecoin positions valued at over $66 million were liquidated during the same period.
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The crypto crash also occurred as investors scaled back their leverage amid ongoing fear. Data compiled by CoinGlass shows that futures open interest in the crypto market continued to fall this week. It dropped by 4.25% in the last 24 hours to over $149 million.
Why Shiba Inu, Pepe Coin, and Dogecoin are Plunging
Cryptocurrencies like Dogecoin, Pepe Coin, and Shiba Inu are also falling because of their own challenges. DOGE has dropped as the recently launched REX-Osprey Dogecoin ETF (DOJE) has not added substantial assets in the past few weeks.
Shiba Inu is also experiencing a low burn rate, increased whale selling, and troubles with its layer-2 network, Shibarium.
Pepe Coin price has also plunged as the token has formed the highly bearish head-and-shoulders pattern on the daily chart. This pattern started forming in March last year and has now moved below its neckline.
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