Crypto Market Pulls Back Across the Board: XRP Down 6.85%, Solana Drops Nearly 8%

Market Overview

On August 15, the cryptocurrency market experienced a broad correction. Real-time data shows total crypto market capitalization dropped to $4.09 trillion, down 3.9% over the past 24 hours. Bitcoin briefly fell below $118,000 earlier in the day and is currently trading at $118,488. Ethereum slipped below the $4,500 mark and is now trading at $4,568.

U.S. equities remained nearly unchanged as the three major indexes closed mostly flat. The S&P 500 gained 0.03%, the Nasdaq edged down 0.01%, and the Dow Jones dipped 0.02%, each recording new all-time closing highs for the third consecutive session. Large-cap tech stocks advanced across the board, with Intel jumping more than 7%, indicating robust risk appetite in traditional markets.

Latest Performance: XRP and Solana

Chart: https://www.gate.com/trade/XRP_USDT

Chart: https://www.gate.com/trade/SOL_USDT

Among leading cryptocurrencies, XRP retreated sharply, falling 6.85%, while Solana dropped about 8%. These moves reflect broad market sentiment and intensified short-term selling pressure.

Altcoin Sector: Leading Declines

Altcoins faced heavy pressure, with Ethereum ecosystem tokens seeing particularly steep losses:

• REZ: down 16.36% in 24 hours
• ORDI: down 15.48% in 24 hours
• SSV: down 15.13% in 24 hours
• EIGEN: down 15.02% in 24 hours
• TNSR: down 14.8% in 24 hours

These highly volatile altcoins were most affected by the downturn, as short-term capital outflows led to sharp declines.

Reasons for the Downturn

1. Macroeconomic factors and market sentiment: Uncertainty around U.S. inflation data and Federal Reserve rate outlook has dampened risk appetite across crypto markets. Investors are taking a cautious stance on high-volatility assets.
2. Short-term profit-taking: The prior surge in XRP and certain altcoins prompted some investors to lock in gains, adding to selling pressure.
3. Tightening liquidity and market dynamics: Capital has rapidly shifted out of high-risk assets, and leveraged positions on exchanges may have been liquidated, accelerating the correction.

Investor Strategies and Risk Advisory

• Stay composed during volatility: Avoid emotional trades, especially during turbulent periods.
• Set clear stop-loss levels: Set stop-loss levels for XRP and other high-volatility altcoins.
• Focus on long-term fundamentals: XRP’s cross-border payments strategy and Solana’s ecosystem expansion continue to drive long-term value.