In the past 24 hours, the value of the most significant blockchain tokens has decreased significantly, losing more than 20%, according to the SEC.
SEC Lawsuits Hit Crypto Market Deeply, Tokens Like SOL, ADA, and MATIC Fall 20%
This decrease is most likely the outcome of a risk-off event that was sparked by the SEC’s complaint against Binance and Coinbase, which claimed that 13 tokens were securities. As a result of the lawsuit, many individuals are already speculating about the tokens’ future after this news shocked the cryptocurrency industry.
Assets in Tokens May Have Been Liquidated
Most of the losses, interestingly, were in the early hours of Saturday, when Solana (SOL), Polygon (MATIC), and Cardano (ADA) all dropped as much as 25% in a short period. A significant cryptocurrency fund may have liquidated its holdings in these tokens in response to the abrupt decline, profiting from the unstable market conditions, according to some speculation.
Other Cryptocurrencies Also Declined
There have been significant ramifications from this announcement, with certain tokens experiencing weekly drops of up to 34%. With losses of over 11%, even well-known tokens like BNB, DOGE, and XRP have been spared. The leading two cryptocurrencies, Bitcoin (BTC) and Ether (ETH) have actually also been impacted, with BTC falling 3.6% and ETH falling 4.5%. On top of all this, Coinglass data also shows that earlier today, the crypto-tracked futures market saw the liquidation of nearly $300 million.
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